DMP Payments to creditors

Pro-Idiot

Hi all, would love a bit of advice on this!

So im setting up a DMP, I've discussed with some but not yet all of my creditors and i have stopped my DD payments to them which were un-affordable. my question is.

Should i immediately just pay the payments im asking them to accept? Or stop payments all together until they accept / counter offer?

I have never missed a payment and i am up to date, not sure if this makes a difference?

Thanks

sourcrates

Hi,

Depends on how you want your credit file to look.

If creditors don't default you for non payment, then you risk arrangement to pay markers, (AP) which stay on your file 6 years AFTER the debt is repaid, so potentially a very long time.

Most new DMP'ers with hold payment until there accounts get defaulted.

Have a read through this thread :

https://forums.moneysavingexpert.com/discussion/5285089

National_Debtline

Hi there,


I would suggest having a quick chat with the DMP provider (hopefully you have found a free, reputable DMP company) and see how long the DMP will take to begin. If they are going to write to your debts in the next week or so, it is unlikely you need to do much. However, if it is going to take longer they should have a Hold Action letter of some kind that you can send to your debts letting them know what is happening.


Make sure you have protected your income by opening a safe, fee free, basic bank account to stop any lenders 'helping themselves' to your money.


Laura
@natdebtline