DMP plans

leicesterfox_2

Hi, I wonder if anyone out there might be able to help me and who has experience with either DMP's or informal lender agreements?


Over the last few years due to divorce, redundancy, and ill health I have amassed a pretty big credit card debt which I am struggling to pay back.


I have finally secured a new job which is great news however the salary I will be getting isn't great and not enough to pay min payment on my cards.


I have looked into both the schemes above and discovered that lenders do not have to freeze interest on either scheme.


Basically I have debt on Halifax, MBNA and Barlcaycard, I am trying to establish which provider is most likely to accept an interest freeze, that way I can balance trf to that provider and then do a DMP.


Any help would be greatly appreciated.

KID77

Hi,
I dont have experience with Halifax but do with the others and both have frozen interest but I think it depends on how much you are repaying per month. If its close to minimum payments then unlikely so as stupid as it sounds you are as well paying less but enough to still make a significant difference to your debt reduction.
:-)

Sazzie23

Hi

I think you need to remember if you start getting interest frozen due to a DMP or issues with paying, then getting a balance transfer could be problematic.

If you have funds to pay minimums and nothing else, than you probably should consider a formal (although they are informal agreements) DMP.

I'd personally recommend the Stepchange Deby remedy, it's free, on line and can be anonymous if you wish. It will at least give you a good idea of how realistic you current budget is and what your options are.

The DMP mutual a support thread part 11 is a great place to get advice on starting up and getting through a DMP. We usually have a link on the front DFW page, although occasionally we slip over to page 2.

Good luck whatever you do, facing debt and dealing with it, is a big step, well done.

Puzzcat

Hi,

Creditors seem to work in mysterious ways so there is no guarantee what they do for me they will do for you, if you get my meaning. I would also be very cautious about doing a BT right before entering a dmp as they also look at how old the debt is. As Sazzie says come over to the dmp mutual support thread and have a read.

Puzz

National_Debtline

Hi leicesterfox


It's very hard to second-guess which card providers might be more willing to freeze your balances, as their approaches can vary from one customer to the next. In any case it often takes a bit of perseverance to get creditors to accept debt repayment plans, whether DIY or using a third party.


Good luck


Dennis
@natdebtline