DMP Mutual Support Thread - Part 12

motivated

2017spark wrote: »

Thanks Motivated, that's really helpful
Did you just inform SC you didn't want to carry on?
And token payments, how did that go down with the creditors? (£1?)
How long can you do it for? I was hoping 6 months, but do they accept this?

Thanks!!

I’m pretty sure the NEDCAB site also generated a letter for SC too who were absolutely fine about it. As for the token payments my letters generated with the lower offer of monthly payment. I then added to them that I WILL be paying £1.00 per month for approx 6 month (I’m still on token payments and no one has said anything) I said this was due to car expenses and high vet bills. I also added that I want all correspondence in writing only and will reply promptly to any letters I receive. All were fine about it too and have been still because I constantly keep them updated on our situation.

Before I contacted anyone I got an A4 size note pad and wrote down all creditors details, account numbers, balances payments etc and made sure I had all up to date info for them.

Another plus for the NEDCAB site is it saves all of my information and where I’m at with my DMP. Even my I&E is on there ready to print. I just log in and can adjust and print letters when I need to.
M

ironingpile

Hi

Have been lurking on this thread for the past few weeks soaking up all the good advice. I had my light bulb moment last month and realised that my level of debt couldn't continue as I had robbed Peter to pay Paul one too many times. I have been inspired by everyone to get to grips with my problems - particularly CarBoot Crazy as I am sort of retired too and should never have got into this mess!

Just wanted to say "Hello" and that I have decided to go down the self managed route using the NEDCAB website. Feeling OK with what I have done so far - new basic bank account, payments stopped and initial letters sent. However I have no doubt I will benefit from a little hand holding over the next few weeks. So may be around asking for a little help if that's OK.

Ironingpile

sourcrates

ironingpile wrote: »

Hi

Have been lurking on this thread for the past few weeks soaking up all the good advice. I had my light bulb moment last month and realised that my level of debt couldn't continue as I had robbed Peter to pay Paul one too many times. I have been inspired by everyone to get to grips with my problems - particularly CarBoot Crazy as I am sort of retired too and should never have got into this mess!

Just wanted to say "Hello" and that I have decided to go down the self managed route using the NEDCAB website. Feeling OK with what I have done so far - new basic bank account, payments stopped and initial letters sent. However I have no doubt I will benefit from a little hand holding over the next few weeks. So may be around asking for a little help if that's OK.

Ironingpile

Hi Ironingpile,

Welcome to the thread.

If you have a read back through the various pages, you will find most topics have been covered, some more than once, but feel free to ask anything your unsure off.

Lots of people prefer to self manage due to the freedom it allows them, you seem to be doing well so far, keep it up !!

2017spark

Hello all,
thanks for the advice over the weekend, I have decided to go self managed
I've just posted the letter to SC to terminate my account with them and started my NEDCAB process - already its recommending a lower monthly payment which should help so much
I've just drafted a token offer of £1 letter to all creditors for 6 months - after which I will start making appropriate payments (to be advised) - this I am really nervous of! I've never done token payments before


At the end of the 6 months I will have a small emergency fund, have cleared some hurdles too (car, dentist and opticians!) and I'm hoping to have enough put aside to offer a settlement to my smallest debt at least.


Thanks for all the NEDCAB recommendations - fabulous site and information!!

Suseka97

2017spark wrote: »

Thanks Motivated, that's really helpful
Did you just inform SC you didn't want to carry on?
And token payments, how did that go down with the creditors? (£1?)
How long can you do it for? I was hoping 6 months, but do they accept this?
Thanks!!

Yey - another DFW joins the self-managed gang. I went SM a few months ago - dead easy with regards to StepChange, just message and/or write to them. Before that, do as motivated advised and make a copy of all your creditors and account details from your SC account pages. Once they close your DMP you'll no longer have access to that information. I've not made any payments for the last two months awaiting responses to the CCA requests I sent off to our 6 remaining creditors (all Barclays related debts) and have only just heard back from LINK (who are managing 3 of them). I intend to respond saying I'm seeking legal advice about the paperwork they've provided and will be back in touch soon - but in the interim offering just token payments. I intend to rework my I&E to a much more manageable level -which will extend my DF date, but I'm okay with that. There are quite a few on here who have dropped to token payments for up to 6 months and no-one reports anything negative back from doing so. Overall the only 'downside' of going self-managed, if you can call it that - is having to deal with creditors yourself and being prepared for the 'pay up or else' letters that may drop through the door when you lower to token payments for a while. Others won't bat an eyelid because they are handling too many accounts to stay on top of them all The best advice is to keep in touch with them and keep them happy by doing so.

Suseka97

ironingpile wrote: »

Hi
Have been lurking on this thread for the past few weeks soaking up all the good advice......

Just wanted to say "Hello" and that I have decided to go down the self managed route using the NEDCAB website. Feeling OK with what I have done so far - new basic bank account, payments stopped and initial letters sent. However I have no doubt I will benefit from a little hand holding over the next few weeks. So may be around asking for a little help if that's OK.
Ironingpile

Hello and welcome to the forum :hello:
Sounds like you are on top of things already, so that's a great start and I wish you well on your debt free journey and am happy to help (as we all are) if needs be at any point along the way.

heavenlyharry01

I too went self managed, after one month with Stepchange. Used the NEDCAB website, which is brilliant.
I’ve also lucky to been in the position to get full and final settlements on a couple of debts, which I wouldn’t have been able to do with Stepchange.

motivated

Regarding token payments. Our 2 Halifax loans are huge and make up half of our overall debt total. I have been paying them £10 each per month for the past 3 to 4 months.

They have now been passed to Wescot who are managing them. I have set up a payment plan with them for quite a bit less than the original contracted payments. They were happy to accept and have said as long as we keep to our end of the bargain we won’t here from them. I think as long as you keep them informed and up to date they should be ok.

I also heard back from MBNA regarding our defaults. They say that our accounts will default at the end of October although they are unable to backdate them. Never mind at least they will be defaulted.
M

Sadsecret

Right so I feel as though I'm standing on the edge of a very high cliff at the moment! I have around £34000 unsecured loans and credit cards. I have never missed any payments but it leaves me almost nothing to live on so I'm putting more on my balances every month. So I have decided to take action and have worked out a budget with StepChange, Ive got a new bank account and changed my priority payment direct debits over. Now I have written to each of my creditors asking to freeze interest and letters are ready to go tomorrow. So far so good. Terrified of what I may unleash. But what now? All their direct debits were supposed to be coming out on 5th of month, my plan is to save all this as my emergency fund (about £950) and then start my DMP from next month. Do you agree or should I make token payments? If so how much? Any advice and support massively appreciated.

fatbelly

Sadsecret wrote: »

Right so I feel as though I'm standing on the edge of a very high cliff at the moment! I have around £34000 unsecured loans and credit cards. I have never missed any payments but it leaves me almost nothing to live on so I'm putting more on my balances every month. So I have decided to take action and have worked out a budget with StepChange, Ive got a new bank account and changed my priority payment direct debits over. Now I have written to each of my creditors asking to freeze interest and letters are ready to go tomorrow. So far so good. Terrified of what I may unleash. But what now? All their direct debits were supposed to be coming out on 5th of month, my plan is to save all this as my emergency fund (about £950) and then start my DMP from next month. Do you agree or should I make token payments? If so how much? Any advice and support massively appreciated.

That sounds like a good plan.

I'm not a fan of token payments.