DMP mutual support thread part 13 !!

sourcrates

matthewhine said:

Hi all, I'm new here. I have recently contacted SC about my ongoing debt problems. The outcome of this was that I go on a DMP. I'm anxious and worried about this. I have read through this forum and seen many terms that make me worry. Words like default, debt collection agency F&F. 
I owe £15000 on Aon credit cards and catalogues. My wife doesn't know the extent of this and she can't know because she has really bad anxiety and mental health problems. This would tip her over the edge. One thing that frightens me is debt collectors knocking on the door. Can and will this happen?

Hi,

Put aside your worries, and your anxiety, your creditors are not loan sharks, so will not be sending round baseball bat weilding heavies, but you must get used to thinking differently, that means been au fair with madame default, mr debt collector, and full and final settlement, amongst others.

Debt collectors work from call centres these days, your average call centre worker is Sam, 19, likes little mix, dislikes rude people, gets paid miminum wage, not many companies knock on doors anymore, only one that i can think of.

Debt management is an unregulated, informal agreement between you and your creditors, you simply repay what you owe on a monthly basis at an affordable rate, you may get defaulted, par for the course, and the sooner the better as it will leave your credit file in 6 years regardless of what else happens.

Some accounts may be sold to debt purchasing companies, or passed to a collector to manage, again, makes no difference to you, stepchange just pay the new owner/manager instead, as long as you have a current arrangement, no further action will be taken.

You have  to understand millions of people default on debt, the debt mangement route, and other insolvency routes, are familiar ground to creditors, once your in an arrangement, thats it, things carry on as per normal, its really no big deal.

DebtHurricane

Sorry to repost but people posted after me and I think my post kinda got lost in the clouds: would really appreciate people's advice as I feel so anxious and don't know the best way forward....

Really torn about how to move forward. I have been saving EF and want to start a DMP with SC for a low amount, and then save up some money each month to gradually offer settlement figures to clear the debt one by one. By paying a low DMP amount I am hoping the creditors will end up settling for less, therefore getting out of debt faster.

Issue is: I have 9 creditors and 3 of them have not defaulted me. Formal complaints have gone nowhere (although I can still take them to the FOS but the wait will be long). The options I feel I have are:

1) start the DMP with SC but don't include the 3 debts that haven't defaulted (don't pay and hope they default)
2) start DMP with every creditor included and just forget about the AR markers on my file
3) delay doing any DMP and only pay the defaulted ones £1 a month (but how long do I keep waiting)

It feels like I'm constantly checking my credit files, hoping for a default to suddenly appear. Checking emails for responses to complaints. I'm obsessed with it, but at the same time I have had some success in getting about 5 defaults added in the last 6 months through persistence. I just don't know if I should continue fighting these last three.

2 of these debts are particularly unlikely to default as they're now with a DCA. Original creditor marked accounts as 'settled' and closed and DCA now reports as 'DMP'/'AR' because I have been paying £5.00 a month. They assured me I won't have any negative info on my credit files but AR markers are negative!

HELP!!!

edit: * creditors not defaulted are Studio, and 2 JD Williams catalogues

natlie

Hello, B@rclayc@rd sent me a default notice this morning, I am only £39 behind on payments but they said unless I pay this by the 11th September my account with be defaulted. In the letter it asks me to contact them to let them know if i can pay more or if I still need to reduce payments. It also states that if I phone them to let them know then they will default me sooner? Do I really need to call them or can I just leave it now? I feel that this isn't a bad result as I was paying them the full amount until my SC started and I have only been on the DMP since June

sourcrates

natlie said:

Hello, B@rclayc@rd sent me a default notice this morning, I am only £39 behind on payments but they said unless I pay this by the 11th September my account with be defaulted. In the letter it asks me to contact them to let them know if i can pay more or if I still need to reduce payments. It also states that if I phone them to let them know then they will default me sooner? Do I really need to call them or can I just leave it now? I feel that this isn't a bad result as I was paying them the full amount until my SC started and I have only been on the DMP since June

You can do as you like, its a statutory notice you have recieved, they must send it under the terms of your agreement, if you want it defaulting sooner, speak to them, if not, let events take their course.

natlie

Thanks another querie, I keep getting arrears letters from Tesc* but from none of my other creditors SC have spoken to them twice, I can’t get hold of them on the phone. It’s like they haven’t acknowledged the DMP but in June they sent me a letter saying they accepted my payments. So what do I do ignore them?

Suseka97

natlie said:

Thanks another querie, I keep getting arrears letters from Tesc* but from none of my other creditors SC have spoken to them twice, I can’t get hold of them on the phone. It’s like they haven’t acknowledged the DMP but in June they sent me a letter saying they accepted my payments. So what do I do ignore them?

Sounds like you are just getting computer generated bumpf that gets sent out automatically simply because you are in arrears.  They mean nothing and so you can just bin them.  Eventually those letters will drop off and the only thing you might receive are annual statements.

ditty1234

I can see the the sky behind the clouds - one of my HSBC accounts has now gone to their debt department. Still no default registered though, and complaint for late default is still in the works. All credit card balances are frozen until they find proof they are enforceable. Sadly it's weird how not paying anything have moved things on. I look forwards to getting clarification of what will actually need paying, in the next few months. 

matthewhine

Can I ask a newbie question, what is meant by the term enforceable and non enforceable? I'm still learning. 😃

sourcrates

matthewhine said:

Can I ask a newbie question, what is meant by the term enforceable and non enforceable? I'm still learning. 😃

In order for a creditor to take legal action against you for a consumer credit act debt, they must be able to provide a legible and complient copy of your credit agreement.

If they can do so, then the account is enforcable in court, if they cannot, then it isn`t.

Of course the creditor could employ the top legal mind in the country to fight their corner, they could gather evidence from various sources, bring forward numerous witnesses to testify you applied for the loan, obtain your bank statements, the list goes on, in essence they may be able to prove you are liable for the debt without actually producing a compliant copy credit agreement, but with many thousands of unenforcable accounts, the time it would take would be far too long, and the cost far too much, its just not worth the time and cost to defend such cases, so they don`t bother.

matthewhine

sourcrates said:

matthewhine said:

Can I ask a newbie question, what is meant by the term enforceable and non enforceable? I'm still learning. 😃

In order for a creditor to take legal action against you for a consumer credit act debt, they must be able to provide a legible and complient copy of your credit agreement.

If they can do so, then the account is enforcable in court, if they cannot, then it isn`t.

Of course the creditor could employ the top legal mind in the country to fight their corner, they could gather evidence from various sources, bring forward numerous witnesses to testify you applied for the loan, obtain your bank statements, the list goes on, in essence they may be able to prove you are liable for the debt without actually producing a compliant copy credit agreement, but with many thousands of unenforcable accounts, the time it would take would be far too long, and the cost far too much, its just not worth the time and cost to defend such cases, so they don`t bother.

Thank you sourcrates, so basically it's likely that most debt will remain unenforceable?