DMP mutual support thread part 13 !!

sourcrates

yoyo33 wrote: »

Thanks nowinspired. I may ĺook into this some more. As I do like the idea that we can pay make more of our own decisions if we go self managed. But I haven't coped very well with the initial phone calls. I should have just written to them all in the first instance but I would if would be easier than it was. I spoke to step change today and they said or maybe an option to do an individual plan for my husband as most the debt is in his name. So I'm going to spend some time tomorrow. Working our what's best for us. Thankyou again for your reply x

Hi,

Self management of your DMP is extremely simple, it’s always best to make this process as stress free as possible, so everything should be in writing only, you work out your budget, and what you have left over is for debt repayments, then tell the creditors what your intentions are, and simply pay that amount every month.

You should write and demand contact be in writing only, creditors may work through there array of standard letters to you initially, but things should soon settle down.

You keep them updated on your situation annually, but other than that, constantly seeking there approval for everything is unnecessary, they must send statutory notices by law, take note and file, you only need respond if your creditors ask something specific or intend to take legal action against you.

That’s it, everything should tick along just fine, debts may get sold on at times, you will be informed of this, you just change who you pay to the new creditor.
Any problems, ask the forum.

yoyo33

Thankyou sourcrates. Sounds like it's definately worth thinking about.
Just a couple of questions if you don't mind.

If I go self managed. Is there more chance of getting a ccj? Going by what I've read. My Understanding is.. If you have a dmp set up through a charity
Then there's less chance of a ccj as the court would advise to set up a plan through a debt charity to correctly work out the budget. Which it would be with a debt charity already so they won't bother proceding. So if you're self managed there's more chance of a ccj?? Is this correct?
And stepchange said. There's less chance of creditors accepting a self managed dmp?

And my other question.. my husband gets commission virtually every month. Would I just give creditors an average figure and stick to that? As it varies alot.
And if there's extra some months
Would I have to declare everything if I'm self managed?. I'm not trying to hide money And I want to pay the debt off as quickly as possible. But I was hoping to put some money away for full and final settlements later and I'm really hoping to learn to drive to help my self employed business. But step change said we would have to pay everything spare to the debt every month regardless of how much it is!
Thanks again for your time x

[Deleted User]

yoyo33 wrote: »

Thankyou sourcrates. Sounds like it's definately worth thinking about.
Just a couple of questions if you don't mind.

If I go self managed. Is there more chance of getting a ccj? Going by what I've read. My Understanding is.. If you have a dmp set up through a charity
Then there's less chance of a ccj as the court would advise to set up a plan through a debt charity to correctly work out the budget. Which it would be with a debt charity already so they won't bother proceding. So if you're self managed there's more chance of a ccj?? Is this correct?
And stepchange said. There's less chance of creditors accepting a self managed dmp?

And my other question.. my husband gets commission virtually every month. Would I just give creditors an average figure and stick to that? As it varies alot.
And if there's extra some months
Would I have to declare everything if I'm self managed?. I'm not trying to hide money And I want to pay the debt off as quickly as possible. But I was hoping to put some money away for full and final settlements later and I'm really hoping to learn to drive to help my self employed business. But step change said we would have to pay everything spare to the debt every month regardless of how much it is!
Thanks again for your time x

Just want to say that all the tools for starting and administering a self-managed DMP are on the NEDCAB website. It will generate letters for you to send creditors and will give you a reference number. From what posters on here have said who went down that route their creditors accepted the NEDCAB reference as it's Citizen's Advice after all and they are a bona fide charity helping with debt.


I'm in a hurry but hopefully someone else will be along with more advice soon. Try not to worry, things will work out OK for you as they have for the rest of us:beer:

sourcrates

yoyo33 wrote: »

Thankyou sourcrates. Sounds like it's definately worth thinking about.
Just a couple of questions if you don't mind.

If I go self managed. Is there more chance of getting a ccj? Going by what I've read. My Understanding is.. If you have a dmp set up through a charity
Then there's less chance of a ccj as the court would advise to set up a plan through a debt charity to correctly work out the budget. Which it would be with a debt charity already so they won't bother proceding. So if you're self managed there's more chance of a ccj?? Is this correct?
And stepchange said. There's less chance of creditors accepting a self managed dmp?

And my other question.. my husband gets commission virtually every month. Would I just give creditors an average figure and stick to that? As it varies alot.
And if there's extra some months
Would I have to declare everything if I'm self managed?. I'm not trying to hide money And I want to pay the debt off as quickly as possible. But I was hoping to put some money away for full and final settlements later and I'm really hoping to learn to drive to help my self employed business. But step change said we would have to pay everything spare to the debt every month regardless of how much it is!
Thanks again for your time x

If your paying creditors all that your budget says you can afford, what possible benefit would taking legal action be to them ?

They won’t get any more money, or get it any quicker, so it’s a pointless exercise.

As long as your paying a debt, normally legal action would not be considered, that’s mostly reserved for those who don’t pay.

Save the commission for your EM.

yoyo33

Thanks sourcrates. I'm feeling much more positive about the situation now.
Do I have to send payslips or bank statements to creditors? Or just a budget plan ?
And would it be best to work out our monthly income going on an average as I feel I should But some of in in my budget. As I worry they will find out about the extra That I'll be putting away to pay The creditors when I've built some money up. I'd just prefer to distribute the money the way we want to. Thanks. You've been a great help to me.

Loobylou07

carbootcrazy wrote: »

Just want to say that all the tools for starting and administering a self-managed DMP are on the NEDCAB website. It will generate letters for you to send creditors and will give you a reference number. From what posters on here have said who went down that route their creditors accepted the NEDCAB reference as it's Citizen's Advice after all and they are a bona fide charity helping with debt.


I'm in a hurry but hopefully someone else will be along with more advice soon. Try not to worry, things will work out OK for you as they have for the rest of us:beer:

Hi yoyo,

Just wanted to add to this, we are in the early stages of a self managed DMP, and we have found the NEDCAB site invaluable. We wouldn't have been able to self manage without it. We did use the stepchange tools to calculate our budget in the initial stages and this provided us with a reference. In all my correspondence with creditors i have provided the stepchange reference and NEDCAB reference.
We've had no issues, so far, but as I say, we are only in the early stages. Currently paying nothing to creditors to build up our EF, we will start making payments in January or Feb.

Hope this helps and good luck in your debt busting journey.

Loobylou

Willing2Learn

yoyo33 wrote: »

Do I have to send payslips or bank statements to creditors? Or just a budget plan ?

Hi yoyo,

Use the NEDCAB Budgeting and Debt Calculator (Financial Statement) to set out your monthly budget (income and expenses).


If it were me, I would not include commission as monthly salary as it is not guaranteed income. This is because it could hurt if there were any months where commission was either reduced or absent.

Onecanhope

Hi all

Just an update and after a tiny bit of advice

So I’m 2 months payment into my DMP (3 months since telling my creditors) all have been quite understanding and as well as writing to them all I spoke to them all on the phone

Barclay card is my biggest creditor and they have put 2 months arrears on my account and looking to default it - I hear this is a good thing? My payments to them are only £6 less than what they were asking for monthly anyway before the arrears

Wonga is tricky. Although they have received 2 payments and step change have send them 3 letters they keep contacting me saying they still haven’t received an offer from StepChange

PayPal has by far been my hardest. I’m getting letters daily from them asking me to contact them. I can’t up and get told to ignore the letters they can see I’m with step change then I get more letters. Today I received one informing me they will give me 28 days to pay in full or default my account and gave me advise to “contact the court” for an extension or they will send in debt collectors. Sounds threatening but I rang them up and spoke to a lovely women who said it’s a standard letter however they are still waiting for an offer from step change too even though they have received payments.

The letter was sent back in September and then another in October. Checked and addresses are correct. Offered to email them a copy of my letter but they won’t accept

I’ve rang step change and asked them to re send but worried it will go missing again. Anyone had any dealings with PayPal credit?

debarob

Hi guys!!

i'm new to all this, so please bare with me!!

so... I've been on a DMP for approximately 7 years, and as i'm sure we all know, there is no end to them! my company Charges a monthly administration fee which is actually more then they pay to any of my creditors, this seems slightly futile to me!

however, the reason for my posting is that recently i have been able to obtain a new mortgage which has allowed my wife and i to purchase a new house (we had a fantastic mortgage advisor who worked tirelessly!). Due to the equity i had in my previous house i came away with a bit of money, not much, but enough to maybe try and get rid of all the debts (currently at about 13000). i contacted my DMP who advised they would negotiate with my debtors in an attempt to make some savings on the debts and potentially pay all, if not most off at a reduced rate. This sounded fantastic until they informed me they would charge 20% of the savings made, which in this case could amount to thousands, naturally this does not appeal to me as i would have what i had to go to the debtors, not the man in the middle.

does anyone have any advice on how to tackle my debtors in negotiating reduced pay off on my debts. any advice would be gratefully accepted.

thanks

Willing2Learn

Can you not terminate your contract with your debt counselling service? Then you could self-manage the DMP yourself and use every available penny toward debt reduction (instead of lining someone's pocket). You need to give them the boot I think

And welcome to the forum debarob

Edit: This thread is the only support you require to self-manage. It is free. We can signpost you to all the necessary resources as appropriate. And it won't cost you a dime