DMP mutual support thread part 13 !! 18 September 2018 at 9:40PM edited 13 March 2019 at 9:03AM in Debt-Free Wannabe 3.5K replies 481.6K views

Suseka97

sunshinevicky said:

Does anyone know if the CRA have a set date in the middle he when they update or do you just have to keep looking throughout the month? TIA

Have to say I don't know if there is a fixed date, but I tend to get alerts from the CRAs when something has changed on my file/s.  Whether that's an update to credit balances, or new entries, or if a hard search has been entered on my file/s.

Suseka97

tinybull said:

Good morning, first time poster but already have a good understanding of a SM DMP thanks to this wonderful thread.

Me and my DW agreed to take action and tackle our 56k debt by embarking a DMP.

We've set up a fresh joint back account and salaries will go there from November.

I am hoping to send holding letters to all creditors next week asking for 6 month hold to seek advice before starting our DMP.

I am comfortable to stop all DD for credit cards but less so for stopping two loans connected to our two current accounts. The loan payments are due end of October. Shall I pay them and cancel their DD from next month? I ideally want all creditors to receive my holding letter before I stop payment but not sure if that is important or not.

That's would be best, yes - otherwise you'll run the risk that they'll twig what's about to happen.  Also, make sure you don't use a switching service.  It's doesn't really matter whether you stop the DDs before you send the letters or not, but you may as well send off letters to those not associated with debts linked to your bank account now and cancel those DDs.

Suseka97

Palpitations said:

Hi all I have my own DMP and have 2 accounts with Shoosmiths from Creation both have been awful to deal with. I’ve received a 6 month review from shoosmiths and even though I’ve been consistently paying they have still referenced applying for a judgement then charging order should the amount not be considered enough? I feel ill and am wondering if they’ll eventually lead on to this? TIA

Okay, firstly - don't allow yourself to be intimidated or bullied by a DCA.  They send out all sorts of threatening letters with warnings of what they may do in the event of...blah...blah...blah.  That's what they do and do so in the hope they will panic you into making a payment arrangement that suits them, not you!  

I would also add that you shouldn't need to do a 6-month review, an annual one is sufficient and so if you've already sent an I&E in the last 6-months, just send the same one again and tell them you'll update them in a year's time.  Take control of the situation and tell them that if they continue to harass you with threatening letters when you have already proven the affordability of your payment offer, you'll report them to the FCA.

sourcrates

Palpitations said:

Hi all I have my own DMP and have 2 accounts with Shoosmiths from Creation both have been awful to deal with. I’ve received a 6 month review from shoosmiths and even though I’ve been consistently paying they have still referenced applying for a judgement then charging order should the amount not be considered enough? I feel ill and am wondering if they’ll eventually lead on to this? TIA

Shoesmiths have form for intimidation, they may or may not go down that road, only they can decide what further action they may or may not take.

Should they go to court, and obtain judgement against you, they can at the same time apply for a CO yes, however, to make a CO final, involves a court process, where you can have your say at every stage, normally, as long as you are paying what you can afford, a judge may not agree to make it final, if they do, the next potential stage would be an order for sale, and again, there is a process to follow, orders for sale are so rare these days they no longer keep records of them, so very few are granted.

FCA and judicial guidence is that as long as the debtors are paying what they can afford to pay, that should be sufficiant for the creditor, homeowners who enter debt management do run the risk of a CO, but it usually just hangs there and is not further enforced, the courts are reminded to not make people homeless intentionally when reviewing such cases, and to achive a result that see`s the debtors stay in their homes.

Just one other thing, have you CCA`d shoesmiths ?

If not you should, it will -

(A) Throw a spanner in the works, most likely get your account reduced in priority, so they will go bother someone else and not you.

(B) Put your account on indefinate HOLD until the CCA is complied with.

(C) Tells them you know your rights, and they are not dealing with Jonny bananas.

I would advise you do this ASAP.

debtfreegirluk

Hello all. 

If you have defaulted and are paying off your debt via a self managed DMP, am I right in thinking after 6 years the defaults drop off your credit score and that would then increase? 

Not looking to add to debt or anything just curious as to what happens? 

sourcrates

debtfreegirluk said:

Hello all. 

If you have defaulted and are paying off your debt via a self managed DMP, am I right in thinking after 6 years the defaults drop off your credit score and that would then increase? 

Not looking to add to debt or anything just curious as to what happens? 

Your credit score responds to change of any kind, or not. You see in the UK, the scores the CRA`s give you are purely for entertainment purposes, they use them as a marketing tool to sell you credit improvement products etc, so they are an indication of your credit worthiness, but nothing more, no one ever see`s it but you.

Palpitations

sourcrates said:

Palpitations said:

Hi all I have my own DMP and have 2 accounts with Shoosmiths from Creation both have been awful to deal with. I’ve received a 6 month review from shoosmiths and even though I’ve been consistently paying they have still referenced applying for a judgement then charging order should the amount not be considered enough? I feel ill and am wondering if they’ll eventually lead on to this? TIA

Shoesmiths have form for intimidation, they may or may not go down that road, only they can decide what further action they may or may not take.

Should they go to court, and obtain judgement against you, they can at the same time apply for a CO yes, however, to make a CO final, involves a court process, where you can have your say at every stage, normally, as long as you are paying what you can afford, a judge may not agree to make it final, if they do, the next potential stage would be an order for sale, and again, there is a process to follow, orders for sale are so rare these days they no longer keep records of them, so very few are granted.

FCA and judicial guidence is that as long as the debtors are paying what they can afford to pay, that should be sufficiant for the creditor, homeowners who enter debt management do run the risk of a CO, but it usually just hangs there and is not further enforced, the courts are reminded to not make people homeless intentionally when reviewing such cases, and to achive a result that see`s the debtors stay in their homes.

Just one other thing, have you CCA`d shoesmiths ?

If not you should, it will -

(A) Throw a spanner in the works, most likely get your account reduced in priority, so they will go bother someone else and not you.

(B) Put your account on indefinate HOLD until the CCA is complied with.

(C) Tells them you know your rights, and they are not dealing with Jonny bananas.

I would advise you do this ASAP.

Thanks sourcrates! I haven’t done CCA, was thinking about this. Do I send request to them rather than Creation? And am I right in thinking Template is on here somewhere? Thanks again

sourcrates

It won`t be shoesmiths, they are just a solicitor, I would say Creation will still own it, however it will inform shoesmiths of your intention, and they have a duty to pass it on to the creditor, so i would send it to them yes, link here -

https://www.nationaldebtline.org/EW/sampleletters/Pages/Information-about-your-agreement-under-the-Consumer-Credit-Act-(sole-name).aspx

Suseka97

debtfreegirluk said:

Hello all. 

If you have defaulted and are paying off your debt via a self managed DMP, am I right in thinking after 6 years the defaults drop off your credit score and that would then increase? 

Not looking to add to debt or anything just curious as to what happens? 

Yes, you will see your 'score' go up - but that means very little (as sourcrates has said).  For example, my OH's credit score is much lower than mine these days, why  - well, that's because he has no credit records.  So his score decreases as a result.  What matters is your credit 'history' and that is what lenders look at, not a meaningless number.  

When your defaults drop off your file, if you were looking at things like car finance or remortgaging/new mortgage - that's when your credit history comes into play.  So with no defaults you are in a better position than if you had defaults.  

sunshinevicky

So now after receiving the notice of termination from Argos I have now had a letter to say the debt is with Moorcroft and to contact them with any further questions and to arrange payment.... is this now confirmation the debt is defaulted and I can email them and offer my income and expenditure? Sorry for being a pain with all the questions recently! Feel pleased things are moving but also worried as don’t won’t to do anything wrong at this point! TIA