DMP mutual support thread part 13 !!

Willing2Learn

SimonBck wrote: »

I spoke to a mortgage advisor and he suggested that a lender will want to know the ins and outs of my old dmp.

But the DMP will not be recorded on any of your three credit files. The only way a mortgage lender would know about the DMP would be if you told them. But why would you tell them if there is no evidence? The only mortgage lender who would know about the DMP, would be a banking group with whom your previously had an account with that was part of the DMP. So you would avoid the same banking group...

Basically, in plain English, why would you grass yourself up? You wouldn't would you? You'd keep shtum about it lol

sourcrates

spreadtrader wrote: »

Hi Guys

Fantastic advise on here and it has given me the confidence to face reality and start a selfmanaged dmp using nedcab


I want the defaults asap so do i write back now saying i am still seeking advice? (for how long?)
Do I need to send them a budget sheet now to show I cant repay it at the moment even though I am saving a EF?

You want the defaults naturally, so the only way to achive that is to hang fire on payments for as long as it takes, you don`t need to send them anything else.


Antisipate your relationship with the original creditors will break down, so when your DMP does start, you will be dealing with the debts new owners and/or debt collectors, you send your offer of payment along with a copy of your budget, then thats what you pay, if they don`t like it, the debts will be sold on, this may happen a few times over the life of your arrangement, so be ready to react to it.

spreadtrader

Thanks I just feel uneasy doing nothing when i have never missed a payment


So i dont even have to send a budget sheet yet?
Do they normally default and then pass on to collections? or pass onto collections and then default?
Can i ask them to default me?

sourcrates

spreadtrader wrote: »

Thanks I just feel uneasy doing nothing when i have never missed a payment


So i dont even have to send a budget sheet yet?
Do they normally default and then pass on to collections? or pass onto collections and then default?
Can i ask them to default me?

It can be an uneasy feeling, i agree, but your mindset has to change, you are no longer dancing to their tune, they must dance to yours, you can write and ask/tell them anything you like, by all means explain your stratagy to them, ask them to default you, but remember, guidence states defaults can be added after between 3-6 missed contractuaral payments, thats up to 6 months.

The usual course of events is acount is passed to collections if you stop paying, it could remain there for some time, it may then be passed to an internal debt collector, who will try to contact you, if no luck, an external agency will be next, if that fails, the debt may be sold, but different companies have different time scales for each part of the process, so its hard to say how long anything will take to progress.

violet888

Hi, I am looking at arranging a DMP but what is self managed exactly? Thanks

Willing2Learn

violet888 wrote: »

Hi, I am looking at arranging a DMP but what is self managed exactly? Thanks

Hi violet888


This would be the longest post ever if I were to describe what it is, the advantages and the disadvantages.

So, I am going to redirect you to the NEDCAB site. It is the most amazingly valuable resource for anyone contemplating a SM DMP. I believe it even generates the letters for you to send to your creditors. Have a good read lol. If you have any questions after looking at the NEDCAB site, then comeback here and ask away.

https://nedcab.cabmoney.org.uk/dmp.asp

sourcrates

violet888 wrote: »

Hi, I am looking at arranging a DMP but what is self managed exactly? Thanks

Willing2Learn wrote: »

Hi violet888


This would be the longest post ever if I were to describe what it is, the advantages and the disadvantages.

So, I am going to redirect you to the NEDCAB site. It is the most amazingly valuable resource for anyone contemplating a SM DMP. I believe it even generates the letters for you to send to your creditors. Have a good read lol. If you have any questions after looking at the NEDCAB site, then comeback here and ask away.

https://nedcab.cabmoney.org.uk/dmp.asp

The simple explanation is that you just pay your debts like normal, but at an affordable rate, instead of your contracted payment.

PixieHope

Hello,

First time poster but long term lurker here! I have just started my DMP with SC and I wish I had found this forum sooner as I would have done things differently but I guess hindsight is a wonderful thing!

I have just checked my credit report on Equifax and the debts listed in my DMP have been recorded as ‘The account is being paid as part of a Debt Management Program’ does this mean I am unlikely to get defaults from them? I am only 2 months into my plan so I may be thinking too far ahead and they may default me after 3-6 months but I didn’t know if there was anything I could do to get them to default me?

Any help greatly appreciated!

ditty1234

I have just checked my credit report on Equifax and the debts listed in my DMP have been recorded as ‘The account is being paid as part of a Debt Management Program’ does this mean I am unlikely to get defaults from them? I am only 2 months into my plan so I may be thinking too far ahead and they may default me after 3-6 months but I didn’t know if there was anything I could do to get them to default me?

Any help greatly appreciated!

Hi Pixie hope I have the same problem with my abandoned overdraft and loan in HS8C, I called them but they did not want to hear the overdraft word. I think I will call them again, and then maybe write them after that. But I will follow here as well.

Willing2Learn

PixieHope wrote: »

...I have just started my DMP with SC and I wish I had found this forum sooner as I would have done things differently but I guess hindsight is a wonderful thing!

I have just checked my credit report on Equifax and the debts listed in my DMP have been recorded as ‘The account is being paid as part of a Debt Management Program’ does this mean I am unlikely to get defaults from them? I am only 2 months into my plan so I may be thinking too far ahead and they may default me after 3-6 months but I didn’t know if there was anything I could do to get them to default me?...

ditty1234 wrote: »

... I have the same problem with my abandoned overdraft and loan in HS8C, I called them but they did not want to hear the overdraft word. I think I will call them again, and then maybe write them after that...

Hi PixieHope and hi ditty1234

It may seem drastic, but if it were me, I would cancel the DMP and suspend payments to the "rogue" accounts for six months. It would mean that you would get bombarded with correspondence, but it gives you a better chance of having all your respective accounts defaulted. The DMP could then begin again in six months time, either via StepChange or self-managed. (Suspending a DMP for six months will also mean a respectable Emergency Fund will be built up.)