DMP mutual support thread part 13 !!

purplepaws

carbootcrazy wrote: »

Were you meaning would it be better to keep things totally separate and use a different company rather than the same one that's dealing with your DMP?

Well, yes, I suppose I was. Do you think it will make a difference to the people managing it, if they don't know that I have a DMP too?

January2015

Deleted_User wrote: »

Hi, since my posts last week I've cancelled all my DDs for my non-priority debts, opened a new bank account and today have done "holding letters" to my creditors, to be sent out tomorrow.

Do people think it's any easier to owe smaller amounts to more creditors, or have fewer creditors with larger debts? I owe approx £25,000 to 9 creditors, with the largest debt being £4,500. Does owing smaller amounts draw less attention from creditors?

I don't think it makes any difference how many creditors you have or how large or small each debt is. It certainly doesn't matter to the creditors and if you are with Stepchange or a similar DMP charity - it won't matter to them.

From a personal perspective, the only thing that matters to me is seeing the amount I owe reduce. An occasional boost is if one (or more) creditors gets cleared - however that's not as important to me as the seeing the overal amount owed come down.

Suseka97

Time_To_Change wrote: »

Thanks Sourcrates I thought this was probably the case but just wanted to get a second opinion. I do have another question if someone could answer it. Will having defaults on my account mean I can no longer shop around to change energy suppliers or insurance company's etc? None of my priority bills are in arrears and are all up to date. Also I have just switched to a new fixed mortgage deal with the same company and they said credit/affordability checks wouldn't be necessary as I am only fixing to a new deal not changing anything. Is this a was the case or am i likely to struggle in 2 years time?

I've switched twice with my current mortgage provider, on to different deals, during my DMP and its been a breeze. So you'll be fine. I've also switched energy providers without any problems and am looking to do so again.

January2015

Icarus01 wrote: »

Starting a DMP with Gregory Pennington on the 25th. My advisor throughout the whole process has been brilliant. I know they're paid to sound like they care but I feel like this guy generally does. Calls up just to check in and make sure everything is alright ( Poor fella, I probably treated him more like a grief counselor than anything else). I've got £29k in debt with monthly payments of £560. Hopefully should be debt-free in 5 years. One loan wouldn't have been paid off for 7 years so i'm very happy with these monthly payments.


I'm just hoping all my creditors agree to the DMP.

Please, please, please cancel the DMP with Gregory Pennington and contact Stepchange or one of the other free DMP providers.

You will be paying Gregory Pennington to manage your DMP. Stepchage will do it for free.

From GP site.....

What are the costs involved with a debt management plan?
A fee is taken directly from your monthly payment. It is 18.5% of each monthly payment, subject to a minimum of £38.50 and a maximum of £90.

That is your good money that could be clearing your debts and not lining the pockets of GP.

Edit: Based on your monthly DMP payment, £90 each month is going to GP and not to your debts. What the heck!!! Why would you do that. I understand you feel they have supported you. Stepchange or any other free provider would support you - and you have this fantastic group of people who are going through the same process to chat to online. We've been there, struggled through, fought the battles and can give real life advice.

Over 5 years of your DMP you will be paying GP £5,400. Think how much faster you could be debt free if that went to your debts and not GP.

Please cancel the GP DMP now and contact SC.

[Deleted User]

January2015 wrote: »

Please, please, please cancel the DMP with Gregory Pennington and contact Stepchange or one of the other free DMP providers.

You will be paying Gregory Pennington to manage your DMP. Stepchage will do it for free.

From GP site.....

What are the costs involved with a debt management plan?
A fee is taken directly from your monthly payment. It is 18.5% of each monthly payment, subject to a minimum of £38.50 and a maximum of £90.

That is your good money that could be clearing your debts and not lining the pockets of GP

Totally agree, January:T


Just to add, in my experience, the Stepchange (free) advisors are brilliant too and I always felt they cared about me and my situation. They've listened patiently and sympathetically to a lot of outpouring of my emotion in the early days of my DMP:o. They do exactly the same as the paid companies do except they make no charge for it. I'm not being judgemental but it's my opinion that people in debt shouldn't throw good money after bad by paying for someone to help them get out of it when there are excellent free alternatives available. The money you are paying to a debt management company could be used towards repaying your debt balance.

Suseka97

Icarus01 wrote: »

Starting a DMP with Gregory Pennington on the 25th. My advisor throughout the whole process has been brilliant. I know they're paid to sound like they care but I feel like this guy generally does. Calls up just to check in and make sure everything is alright ( Poor fella, I probably treated him more like a grief counselor than anything else). I've got £29k in debt with monthly payments of £560. Hopefully should be debt-free in 5 years. One loan wouldn't have been paid off for 7 years so i'm very happy with these monthly payments.
I'm just hoping all my creditors agree to the DMP.

I'm pleased to hear you are looking to remedy your debt problems, and I guess this is the last thing you want to hear right now... but, you really should follow the advice to ditch the fee-charging company and go with either StepChange or Payplan - both will provide that same 'care and support', but for free. By doing so you would be clear in just over 4 years.

I don't know the guy and I'm sure he does 'care' about your situation but theirs is a profit making business - so its in his interests to show compassion and caring in order to retain you.

I do feel so sad when I hear about the amount of money people have handed over to these types of companies.

sourcrates

Icarus01 wrote: »

Starting a DMP with Gregory Pennington on the 25th. My advisor throughout the whole process has been brilliant. I know they're paid to sound like they care but I feel like this guy generally does. Calls up just to check in and make sure everything is alright ( Poor fella, I probably treated him more like a grief counselor than anything else). I've got £29k in debt with monthly payments of £560. Hopefully should be debt-free in 5 years. One loan wouldn't have been paid off for 7 years so i'm very happy with these monthly payments.


I'm just hoping all my creditors agree to the DMP.

I must echo what everyone else is saying here, paying a company for a DMP is a bad move, and will cost you a lot of money in fee`s and charges, that could instead be going towards repaying your debts.


You will pay over £3000 to Gregory Pennington for something stepchange will do for free.


Hell fire, I will do it for free for you, all they do is pass on your payments, its something you can easily do yourself too, please don`t pay this company and waste your money.

January2015

Update from me on my F&F offers..... I'm still waiting for answers

Time drags when you are waiting for responses.

I have had responses from a couple of DCAs indicating they have passed the offers to the original creditor. So it wasn't an outright no - but then they have to pass all offers to original creditors where they are only managing the debts.

Oh well.... no news is good news - it wasn't an outright 'no'.... at least they are considering the offers

System

January2015 wrote: »

Update from me on my F&F offers..... I'm still waiting for answers

Time drags when you are waiting for responses.

I have had responses from a couple of DCAs indicating they have passed the offers to the original creditor. So it wasn't an outright no - but then they have to pass all offers to original creditors where they are only managing the debts.

Oh well.... no news is good news - it wasn't an outright 'no'.... at least they are considering the offers

We are also waiting for replies for F&F's. Wrote to W**cot a while a go, with 2 offers on 2 of our debts. One is owned by L*oyds and the other by H**ifax. Apparently the H/F*x one is now being bought out by C*bot. So we have to wait and see what they say. The L*oyds one, W**cot want to know a few more details before they can decide if to accept the offer......don't think so....we told them the money was coming from a 3rd party relative, that is all they need to know. But they are asking for details of how much mortgage we have left to pay and the equity in our house, any offers we have made to other creditors, and pensions we have etc etc. Not telling them all that, so they have a choice, they can either accept our offer or we carry on with token payments.....simples....lol:rotfl:

January2015

ploppy57 wrote: »

We are also waiting for replies for F&F's. Wrote to W**cot a while a go, with 2 offers on 2 of our debts. One is owned by L*oyds and the other by H**ifax. Apparently the H/F*x one is now being bought out by C*bot. So we have to wait and see what they say. The L*oyds one, W**cot want to know a few more details before they can decide if to accept the offer......don't think so....we told them the money was coming from a 3rd party relative, that is all they need to know. But they are asking for details of how much mortgage we have left to pay and the equity in our house, any offers we have made to other creditors, and pensions we have etc etc. Not telling them all that, so they have a choice, they can either accept our offer or we carry on with token payments.....simples....lol:rotfl:

Oooo.... errrr.... None of the DCAs or creditors have come back and asked us anything like they have asked you. I guess they can see how much mortgage we have left by viewing our credit report. They can see how much we pay monthly and what the outstanding balance is. What they cannot see from looking at the credit report is the equity we have in the property.

Fingers crossed I don't get asked questions like those.... similar to you, if they do ask they are not going to get the information. The offer is on the table and if they don't want to accept then that's fine and we will continue with the status quo :rotfl:

Good luck with your offers Ploppy. My fingers are tightly crossed for you :beer: