Should I consider a DMP ?

bullinn1

I am a 66 year old retiree I live with my wife who is solvent and owns the house and car … she is aware of my debt but I am loathe to ask her for help.

I’ve been pretty stupid and have mounted up debts trying to keep up my lifestyle, I used to earn fairly good money before redundancy 7 years ago and have continued to ‘spend’ by drawing cash on credit cards and am therefore paying very little off the capital debt …. enough is enough as it’s starting to get to me and I feel I’d like to tidy up all the strands of debt and formalise my payments.

I’m thinking of a DMP. I owe the bank (Co-op) £2,000 credit card, but I generally don’t drift into overdraft. Should I include the Co-op C/card in the DMP or will they get funny and stop me having a bank account ?

In addition I have Virgin card £1,000, Halifax £1,000 and Tesco £3,500.

I know this is a small amount compared to a lot of people but it’s very worrying. I get £1,000 / month in pensions and have very few few ‘formal’ outgoings. I contribute to car running, food and costs (maybe £400/month) I enjoy a beer and could and should make the effort to reduce that expense.

Any advice would be welcome.

Many thanks

Roger

National_Debtline

Hi Roger


It doesn't matter whether the debt seems small or large compared to others', only what it means to you.


You'll normally be expected to include all your credit debts in the DMP unless there are compelling reasons for leaving a particular one out. I don't think Co-Op would kick you out altogether, but I dare say that overdraft facilities would be withdrawn as a result of entering a reduced payment plan. In any case, you would normally be expected not to avail of any further credit during a DMP.


Would you be able to put together a simple Statement of Affairs (SOA) and share it on this thread? It might help other posters offer some insight on any savings you could make.


http://www.stoozing.com/calculator/soa.php


Dennis
@natdebtline

bullinn1

Thank you so much Dennis, your reply alone makes me feel a little less stressed, I'll complete the soa ... Roger

sourcrates

Depends how long a DMP will take you to complete really, as you technically have no assets, do you really have £600 a month going spare ?

bullinn1

No not really sourcrates, the soa has made me give serious thought to my outgoings ... I'll post it tomorrow

sourcrates

rogertb wrote: »

No not really sourcrates, the soa has made me give serious thought to my outgoings ... I'll post it tomorrow

I thought that might be the case.

You might want to concider a debt relief order.

Google it, and see if you may qualify.

bullinn1

Thanks again sourcrates, another thing I'd never heard of ... well worth investigating.

owlet

Stepchange & National Debtline are bith very good free advice services if you want to ring one for a chat. The link below is the info from Stepchange about DRO

https://www.stepchange.org/Howwecanhelpyou/DRODebtrelieforder.aspx

bullinn1

good of you owlet ...

runforlife

Also no need to rush into it. Consider all your options and def speak to Stepchange