DMP Mutual Support Thread - Part 12

sourcrates

I would just keep my eye on correspondence from the Sainsbury's loan, as 22k is no small amount of money, they may choose to get legal, although as I said it's rare, it's not impossible !!

meepatme

Oh for sure, objective is to get the default on file then get the 50% off each debt if possible. By the time some start defaulting there should be enough saved to try and F F a cc or something. Every 6 months I could probs FF one as most are 4-5k. If the Sainsburys one can default I can try set a plan with them perhaps if they would offset any interest and charged they stack me with as they defaults and time goes on.

[Deleted User]

meepatme wrote: »

Oh for sure, objective is to get the default on file then get the 50% off each debt if possible. By the time some start defaulting there should be enough saved to try and F F a cc or something. Every 6 months I could probs FF one as most are 4-5k. If the Sainsburys one can default I can try set a plan with them perhaps if they would offset any interest and charged they stack me with as they defaults and time goes on.

I wish you the best of luck with this plan, sounds ideal:beer:


I think though that you may be waiting a while after a default before some of them will be willing to negotiate a good settlement figure. Some creditors are very stingy:(. Sainsbury's should freeze interest and charges if they know you are in financial difficulties and unable to make repayments. All mine did this very early on into my DMP.

Just to echo sourcrates caution about Sainsbury's. It's a considerable amount that you owe them so please don't just stop paying and disappear from their radar. Keep communication channels open with them or they may think you've just welched on the debt and they may start some sort of action against you. In a DMP with such as Stepchange it's obvious to creditors that you are paying what you can afford. It's a bit more vague when we're going it alone.

vaper

meepatme wrote: »

Oh for sure, objective is to get the default on file then get the 50% off each debt if possible. By the time some start defaulting there should be enough saved to try and F F a cc or something. Every 6 months I could probs FF one as most are 4-5k. If the Sainsburys one can default I can try set a plan with them perhaps if they would offset any interest and charged they stack me with as they defaults and time goes on.

This sounds like a brilliant idea.......In an ideal world even possible, just can't see it happening somehow. Im not knocking you, in fact im probably after the same sort of deals myself. I do have similar amount available each month now that I'm not paying CC bills. I just want to be able to keep them all off my back as long as possible to get an amount saved ready to pay.
Good luck
Vaper

vaper

meepatme wrote: »

Thanks for your reply I guess some of the rambling is just me getting straight in my head. Debt of about 42k to shake off. Also yes I just arranged for a DMP. I just cancelled my dd to all lenders on Friday also moved all moneys to a neutral bank account. I was going to just let the DMP kick in and off we go.

BUT after reading some lenders dont default and some of the victories others have had with reduced settlements with DC I think I should go the self managed route.

I think i leave the lenders alone to default me upon this send the cca letter too them and look to arrange a payment plan with them or settlement if i managed to save some. Two CC, one loan, and overdraft. I doubt they show as not enforceable as they mostly online apps from what i call. Just nice to have some kind of plan now rather then paying out 95% of earning.

And I think this route could be a lot more effective then IVA or bankuptsey if you can save some money to try settle stuff with the banks

I did the same, arranged with stepchange but changed my mind just before signing the paperwork. There were a lot of people on here with SC who were deciding to go self managed, so I skipped that step now planning to go it alone, I haven't paid a penny yet for three months, we have had two co-op Cards defaulted so far. Only 7 to go :T

meepatme

I hear what your saying I guess the other option is to play the DMP but letter the lenders advising of the current Issue and advise that a DMP will commence say 4 months from now. Please stop all charges and interest etc etc and default my account.

Stock-pile said savings and hopefully allowing 4 months before said DMP they would of defaulted and some savings are on way for FF approach. Then self manage when you are in a position to tackle some lenders in a FF approach.

meepatme

Aye I think am thinking the same as you vaper. I dont want to DMP and find some little lender want to AR me for 13 years. I advise SC i wish to wait 4 months for the DMP to start and also write to my lenders advising them my intension noting please stop interest and default me timely please.

if SC wont wait for 4 months I guess id need to cancel and reapply or self manage in 4 months. Ac-curing 4 months of repayment could actually put me in a position to hit a lender off the list. I wonder would a lender ponder a settle after just not paying for 4 months hmmm.

It's a start I guess, letter lenders say DMP to start in 4 months with SC. Would accure 4k by then always worth a shot asking the CC firms to settle for 50% in 4 months.

vaper wrote: »

I did the same, arranged with stepchange but changed my mind just before signing the paperwork. There were a lot of people on here with SC who were deciding to go self managed, so I skipped that step now planning to go it alone, I haven't paid a penny yet for three months, we have had two co-op Cards defaulted so far. Only 7 to go :T

sourcrates

meepatme wrote: »

Aye I think am thinking the same as you vaper. I dont want to DMP and find some little lender want to AR me for 13 years. I advise SC i wish to wait 4 months for the DMP to start and also write to my lenders advising them my intension noting please stop interest and default me timely please.

if SC wont wait for 4 months I guess id need to cancel and reapply or self manage in 4 months. Ac-curing 4 months of repayment could actually put me in a position to hit a lender off the list. I wonder would a lender ponder a settle after just not paying for 4 months hmmm.

It's a start I guess, letter lenders say DMP to start in 4 months with SC. Would accure 4k by then always worth a shot asking the CC firms to settle for 50% in 4 months.

You will only get those type of deals after the debts have been sold on, usually a few years down the line, but can be quicker.

Suseka97

Hello Meepatme - sounds like you have a plan, but do take on the advice given about keeping an eye on Sainsburys in particular. As others have said, I think its pretty unlikely you'd get any F&Fs accepted just 4 months after you stop making your contractual payments and you might not even get defaults in that time either - but fingers crossed you get some.

Don't be surprised if some of them rake up interest and charges for a few months and therefore your overall debt increases during that time though. Hopefully most of them will freeze interest and changes and all will give you one month's (30 days) grace anyway.

Whatever else you do - make sure you write an initial letter as it seems you plan to, letting them know that you are in financial difficulty, will not be paying for x months and that you are in discussions with StepChange about your situation. That'll hold them off for a while. I'm not sure if SC will let you put things on hold for 4 months, but worth a try - or simply say you'll be back in touch in x months.

You also need to be quite steely and make sure you do put that £1k per month aside - not necessarily for F&Fs but for those rainy days/emergencies that will come along. You should also, perhaps, consider how you would distribute your £1k if you find yourself self-managing -that'll give you an end date which is also good to know.

Good luck with it

meepatme

TY for the kinds words, things starting to get real this morning. Direct Debits were cancelled on Friday and rest of the money and salary moved to a neutral account. Started getting HSBC daily fee's kicking in. Bitter pill to swallow never defaulting once yet to date.

But yes I intend to letter the 4 lenders today, 5 accounts over 4 lenders. Consumer Credit requests on all but the overdraft, and a in trouble here please stop interest and push though the Defaults in a timely manor please stating that am working with SC and plan to start a DMP in 4 months time.

I dont think the consumer credits will help my case as all debts are within the last 8 years, one CC is before 2005 you never know worth the 4 pound. Am probs in dreamland re the F & F but I have time on my hands as I get this journey going and get in the trenches to give it my good shot.

I will go throughout the 4 month no payment plan, also fully intend to do the DMP. With a bit of luck I get a default or two, and yes I have the backup nest egg for any F & F in the future or as you said against any bad issues that crop up.

I have explored IVA and bankruptcy and still think this route can beat those debts recovery routes as I can save money and write off the debts all be it I may have to wait longer then one would dream. If I can get all 5 to default for me least that be first victory.