DMP mutual support thread part 13 !!

TuxedoCat

I’m finding PayPlan a little bit odd to be honest - I didn’t pay any of my debts or PayPlan this month and the missed payments are rolling in.

Reviewing the accounts interest has been applied everywhere - heard nothing from PayPlan I don’t even know whether they’ve asked my creditors to freeze it. I felt guilty to cancel PayPlan despite the advice here to delay my DMP for a couple months for emergency fund reasons. I think I will now go self managed.

On a positive note - my mental health has improved and the burden of debt has lifted for the first time in years. I have money left over even after putting towards savings and was able to treat my partner to some £45 new shoes.

I don’t feel guilty at Aldi spending over £30 for my weekly shop. Everything is accounted and budgeted for and the sun is shining thanks for all the advice available on here.

For anyone sitting back thinking they shouldn’t do it or mess up their score because they’ve never missed a payment - do it, do it yesterday. If I went on a DMP two years ago when I first got advice from StepChange I would be over two years in and in a lot less debt.

Don’t be ashamed or feel guilty about DMPs - you’re paying it, just at your pace and escaping the minimum payment trap that is designed to keep you locked in.

NewbieNat

Hi

I haven't posted for ages as my DMP with Stepchange has been plodding away in the background without issues. I made token payments for 12 months, and have been paying a larger payment for the last 3 months. However, redundancy is looming. I've had one meeting at work with another next week. It looks like a done deal to me
I did not send CCA requests as my debts are fairly recent, my redundancy pay will be minimal and I will have a lump sum from an inheritance to pay my debts off in about 6 months time.Has anyone been in a similar position with redundancy? I live in a beautiful part of the UK - amazing scenery but few jobs :cool:

Thanks

Nat

Mike1006

Thanks for the support. I will send letters to my creditors asking for a bit off time then send my forms to sc. appreciate the support.

MrTall

Just an update.


Non-priority debt DD's have been cancelled, and letters sent to creditors. Had the first few come stating they'll hold on the account for 30 days. Still have the initial SC paperwork here to send off, but sticking to the advice given to build up the emergency fund.


Initial letters mentioned about taking advice from SC, and that there'd be further contact when I'm in a position to make further payment, though it may take a few months. Should I follow up this with further monthly letters?


Really appreciative of all the help, thank you!

smiff_50

Just an update from me for anyone interested about SM DMP's after leaving Step Change.

It's slow slow slow oh so slow. Creditors take an age to get back (not that I'm complaining so I get save an emergency fund) but the automatic responses you get just confuse everything.

One great if not concerning thing was one creditor responded saying my arrears had been settled over a year ago and they had been just banking the money and would send me me a cheque for over £300!

What SC were doing I don't know. Some creditors have said they cant delay to September but so what and some have asked for token payments so ok!

I'll just keep chipping away.

daisy_jean

Quick question...

I started my DMP journey last March ish... I lasted 6 months with Stepchange and have been with Payplan for about 9months.

I am contemplating going self-managed but I have rather a *lot* of creditors (I'm talking 15+)... Would this be mad or manageable??

Suseka97

smiff_50 wrote: »

..........One great if not concerning thing was one creditor responded saying my arrears had been settled over a year ago and they had been just banking the money and would send me me a cheque for over £300!
What SC were doing I don't know.

It's up to an individual to check their (creditor) statements and update the SC account details to reflect accurate balances.This is because you'll have provided SC with what you thought was a starting figure - which may, or may not, have been accurate - depending on what was happening to your account during the set up period. But looks like this has worked in your favour and I guess that you were not receiving statements from that particular creditor. You'd have thought they would have informed SC that the account had been cleared.

daisy_jean wrote: »

Quick question...
I started my DMP journey last March ish... I lasted 6 months with Stepchange and have been with Payplan for about 9months. I am contemplating going self-managed but I have rather a *lot* of creditors (I'm talking 15+)... Would this be mad or manageable??

Yes its doable- you just need to get organised Set yourself up a spreadsheet to list all your creditors, balances, payment details etc. Or if you prefer just write it all down in a notebook. Use the NECAB website to help you generate your letters and save a copy of all correspondence. When I went SM I set up a spreadsheet and bought one of those concertina folders and had a section for each creditor/DCA and so kept everything together. I updated the spreadsheet every month and liked to see the total balance/s reduce. But I'm a bit of a geek that way

Mike1006

Can you email companies instead off sending a letter to ask them to put a hold on your account while you set up a dmp ?

Willing2Learn

@Mike1006

How do you know if the email has gone to their inbox? It may have been (misidentified) as spam and doesn't get read. Much better to use Royal Mail (preferably with a 'proof of posting' receipt).

Line_In_The_Sand

Hi :-)

I'm a long-time lurker, but this is my first post.

My husband and I have been battling to pay down debt for the last several years, but in reality, we've only been treading water. We're about to enter into a DMP having taken advice from StepChange.

Our current account is overdrawn to the tune of £4,000, and that's been accounted for in the DMP.

We've been advised (by StepChange) to open a new current account before setting the ball rolling with the DMP, because the bank will freeze the account once they know we're in a DMP.

I'm just after some advice on the order of doing things.

If I switch the current account today, using the switching service, what happens to the overdraft? (New account will not have any overdraft facility at all).

Should I write to the bank before we apply to switch, saying that we're entering into a DMP? Or just go ahead and switch, and let the bank do whatever they want to do as far as the overdraft is concerned?

(We will ask this directly to StepChange as well, but thought I'd see what people's thoughts were in here first).