DMP mutual support thread part 13 !!

sourcrates

jimmy2984 said:

Hi. I'm on a DMP and all is going well. I've just had an offer of a PPI payout from RBS and this is from some loans and CC's I had with Natwest from the 90's. This is great. However: i have a couple of loans and overdrafts on my DMP with Natwest which have been passed to their agents, Wescotts. On the letter with the PPI offer it says that any payout will take into account any arrears on my account held with them and the remaining balance will be credited to my current account. Does this mean they will just send my payout straight to wescotts or will it come to me? Either way this is good, I'd just rather pay off some more pressing things first as I've just been furloughed! Any advice would be great! Thanks all.

You can write to them and ask the payment be made directly to you, site covid-19 recent events as a reason, they are not oblighed to do so, but you can ask.

SuperMario3

Hi guys...finally took the plunge and started speaking to Barclaycard about stuggling to pay my bills etc during the current climate.  They've cancelled my direct debits but I keep getting text and emails, is this standard?  I've also seen about sending them a token payment of £1, can I agree to do this over the phone or is it better to send it in writing?

Stepchange have given me a ref number for my account and said to give it to all my creditors, is this wise to do?

I've also got debts with MBNA and a loan with HSBC, when is the best time to talk to them?

Lots of questions, sorry!!

sourcrates

SuperMario3 said:

Hi guys...finally took the plunge and started speaking to Barclaycard about stuggling to pay my bills etc during the current climate.  They've cancelled my direct debits but I keep getting text and emails, is this standard?  I've also seen about sending them a token payment of £1, can I agree to do this over the phone or is it better to send it in writing?

Stepchange have given me a ref number for my account and said to give it to all my creditors, is this wise to do?

I've also got debts with MBNA and a loan with HSBC, when is the best time to talk to them?

Lots of questions, sorry!!

Anything debt related is best done in writing, if its covid-19 related, then measures agreed with the FCA and Governement are in place to help, you must mention coroanvirus as a cause though, if your situation is likley to be short term, then recent measures may be enough to help you, on the other hand if your problem is going to be more long term, then reduced payments across the board may be in order, see what stepchange recommend.

Suseka97

jimmy2984 said:

Hi. I'm on a DMP and all is going well. I've just had an offer of a PPI payout from RBS and this is from some loans and CC's I had with Natwest from the 90's. This is great. However: i have a couple of loans and overdrafts on my DMP with Natwest which have been passed to their agents, Wescotts. On the letter with the PPI offer it says that any payout will take into account any arrears on my account held with them and the remaining balance will be credited to my current account. Does this mean they will just send my payout straight to wescotts or will it come to me? Either way this is good, I'd just rather pay off some more pressing things first as I've just been furloughed! Any advice would be great! Thanks all.

I was in a similar situation in the past and the monies due to me were set-off against the debt.  This effectively wiped those smaller debts out, which was a plus, although I would have preferred the cash. But its worth doing what sourcrates suggests and write to them mentioning hardship due to Covid-19. They are under no obligation of course, but if you don't ask.....

rsn1985

Hi all, first time poster.  I'm looking at getting into a DMP as I've just dug myself into a hole over the years, just about keeping my head above water until the current situation came along and made life incredibly difficult.

The main debts I'm concerned with total around 10k on a pair of CCs and a loan.  Up until now I've made payments on time every month but with my income badly hit right now - I work in a pub/restaurant in a seafront area so this is the time of year I should be picking up plenty of hours and essentially earning to cover my backside through the winter - pretty much everything is going out as soon as it comes in.  Fortunately the landlady is being OK on the rent and just asking myself and my housemate pay what we can when we can for the moment but obviously I'm concerned when normality resumes she'll put that up to clear any shortfall and cause me even more issues.


One of the CCs and the loan are with Aqua, and I've applied for the payment freeze on them (not heard back either way yet) to give me the breathing space, but essentially I'm just wondering the best way to go about starting the DMP.  If the freeze is approved is it best to just take care of the one remaining card and make some inroad on that(which I could manage) during those couple of months and look at getting it started then?  I've already gone through the self-made plan on the Derbyshire Citizens Advice page so I have the holding letters and a budget plan saved on there.


Finally there is one more loan and the overdraft on my Current account with Lloyds.  This loan will be cleared towards the end of 2021 and similarly if the aqua debt's off the table for now I can manage the payments on that for now .  Going forward into any DMP would it be more sensible to leave this one out and get it paid off or set up a clean bank account and include those in it?

Willing2Learn

rsn1985 said:

Hi all, first time poster.  

Hi and welcome to the forum   

Please can you start a brand new thread in the Debt-Free Wannabe board.  Please complete a Statement of Affairs (SOA) using the online form linked below.  You can then copy & paste it into your thread and we can then give you appropriate advice, guidance and support.  Don't forget to click on the 'format for MSE' button near the bottom of the form. 


https://www.lemonfool.co.uk/financecalculators/soa.php

Wardworried52

Hi all, 
I was hoping I could get some of your expert advice. I've been in a DMP for about 10 months now for 7 debts, these are a mix of credit cards, loans and an overdraft. 3 of these have defaulted, but 4 haven't. Can I ask these companies to default my account now? If so how do I do this? Also my virgin credit card has just sold my debt to a company called Arrow, should the account be defaulted before it's sold. Any advice would be helpful. 
Thank you in advance. 

Willing2Learn

Hi Wardworried52,

If it were me, I would write to each of your creditors, requesting that they default your accounts.  Tell them that you are attempting to make payments toward your accounts and that if they mark your credit file to show you are in an arrangement to pay, then you would be worse off than somebody who makes no attempt to pay.  This would be detrimental to you.

DebtHurricane

Hi all
been waiting for my debts to default before paying anything towards them in the form of a DMP.
I have a total of 9 creditors. 5 have STILL not defaulted. I have raised complaints but due to the current situation it's obviously not going to be sorted overnight.

I am conflicted; do I just set up a DMP anyway and if they don't default then who cares, or do I just wait it out?
I am eager to start my DMP journey because I am fed up of waiting, I have built an emergency fund so far.

Thoughts?  

Willing2Learn

Wait it out.  You will give them no choice but to default the accounts as you won't be paying them a penny.  Just imagine how big your EF will be by the time they get their acts together lol.  They will definitely default you once you are 6-9 months in arrears.  (I'm guessing it will take an additional 2-3 months longer than normal at the moment, due to COVID-19...)