DMP mutual support thread part 13 !!

sourcrates

lisamarie85 said:

sourcrates said 

do what you think is best with that money.

The problem is- I’ve never been known for my savvy financial decisions which is why I’m in this mess. 

I owe just over £13,000 to PRA from my Barclaycard debt which was passed to them. 

I owe almost £5,000 to PRA for my Halifax debt which was passed to them. 

I owe almost £5,000 to Tesco who have never passed on my debt. 

My thoughts on this £5,000 would be to approach Tesco and see if I can get full and final settlement but I’m scared of doing this and rocking the boat 🙈 I’m
not sure why. I heard PRA aren’t too keen on making discounts/reductions and I can’t afford to settle both accounts with them. 

You’re correct, I’m with PayPlanPlus… so I’ve not told them anything about dividends or my ideas yet. 

If I did approach Tesco and we could make an agreement, would they just be removed from my DMP? And the £30 be divided between the remaining two creditors? 

Most people negotiate with a creditor themselves, then once successful, and they have the deal in writing, they pay the money, then simply tell the DMP provider to remove that creditor from the plan.

You don`t have to offer any explanation as to why, if they become insistent, then an aunt of yours kindly settled the debt on your behalf, is all they need to know, see where I`m coming from ?

lisamarie85

sourcrates said:

see where I`m coming from ?

I do indeed. Now to look for the best template letter to send 😬 Thank you as always 

Suseka97

AndersS said:

So I've not made a payment to most of my creditors for the last two months and have ignored all communications. I've had the default notices coming through in the post and I think I've had a letter warning that a default will be placed on my account in about a week if I don't make a payment. My understanding is that this is all moving in the right direction, following the advice on here? Today I've had emails and a text from Arvato so presumably this is the next stage. What is the advice from here? Do I continue to ignore until the defaults are all through or should I be speaking to them/explaining my situation? My original plan was to ignore all communications from creditors/debt recovery companies until all the defaults are in place then contact the creditors/debt recovery companies to set up a payment plan. Is that correct? Also any heads up about Arvato would be useful. Thanks

You are on the right lines and best to remain uncommunicative until those defaults arrive on your credit file.  Arvato are debt collectors and so I would hope that the account they hold will soon, if not already, be defaulted and when that happens you can contact them to set up whatever payment arrangement you have in mind for that particular debt.  As for getting texts, I would block their number so they have to do things in writing, albeit via email.

natlie

Zeus75 said:

Hi, first time poster here, just looking for some advice.

Im currently 18 months into a DMP with 8 creditors, £36K still to pay. I made the mistake of carrying on to pay the minimum payment on all of them when setting up my DMP through Stepchange.

6 of them have now defaulted, just waiting for Nationwide loan (£12,300) and MBNA credit card (£7000) to default. The problem is with MBNA my DMP payment to them each month is £119, but the minimum payment required by them is only 1% of the balance, ie £70. I have received a letter from them stating that they will start adding the interest again to the account next month as I am keeping with the minimum payment amount.

Any idea how I can get both accounts to default asap? Any ideas why the Nationwide account hasn't defaulted yet?

Thanks in advance.

I was in the same position with MBN* last year. I told SC about the added interest they wrote to MBN* for me asking them not to add it. I have always been paying over thr monthly due payments, I do this on most of my accounts but they’ve all defaulted. MBN* defaulted me after 6-8 months from the start on my DMP.
Anyhoo, last week they wrote to me and told me that they had made a mistake when they defaulted me because I had continued to pay and they wrote of my £4,100 debt to them as a goodwill gesture 

AndersS

Suseka97 said:

AndersS said:

So I've not made a payment to most of my creditors for the last two months and have ignored all communications. I've had the default notices coming through in the post and I think I've had a letter warning that a default will be placed on my account in about a week if I don't make a payment. My understanding is that this is all moving in the right direction, following the advice on here? Today I've had emails and a text from Arvato so presumably this is the next stage. What is the advice from here? Do I continue to ignore until the defaults are all through or should I be speaking to them/explaining my situation? My original plan was to ignore all communications from creditors/debt recovery companies until all the defaults are in place then contact the creditors/debt recovery companies to set up a payment plan. Is that correct? Also any heads up about Arvato would be useful. Thanks

You are on the right lines and best to remain uncommunicative until those defaults arrive on your credit file.  Arvato are debt collectors and so I would hope that the account they hold will soon, if not already, be defaulted and when that happens you can contact them to set up whatever payment arrangement you have in mind for that particular debt.  As for getting texts, I would block their number so they have to do things in writing, albeit via email.

Fab, thank you! I wasn't sure whether the best thing was to wait for all accounts to default before starting payment plans or if I can start with each individual account as and when they default, so that's really helpful, thank you great advice about blocking numbers too, I shall certainly do that!

AndersS

Is that a recommended time before starting negotiations for F&F? It seems that this is something that happens much further down the line, is that right?

Suseka97

AndersS said:

Suseka97 said:

AndersS said:

So I've not made a payment to most of my creditors for the last two months and have ignored all communications. I've had the default notices coming through in the post and I think I've had a letter warning that a default will be placed on my account in about a week if I don't make a payment. My understanding is that this is all moving in the right direction, following the advice on here? Today I've had emails and a text from Arvato so presumably this is the next stage. What is the advice from here? Do I continue to ignore until the defaults are all through or should I be speaking to them/explaining my situation? My original plan was to ignore all communications from creditors/debt recovery companies until all the defaults are in place then contact the creditors/debt recovery companies to set up a payment plan. Is that correct? Also any heads up about Arvato would be useful. Thanks

You are on the right lines and best to remain uncommunicative until those defaults arrive on your credit file.  Arvato are debt collectors and so I would hope that the account they hold will soon, if not already, be defaulted and when that happens you can contact them to set up whatever payment arrangement you have in mind for that particular debt.  As for getting texts, I would block their number so they have to do things in writing, albeit via email.

Fab, thank you! I wasn't sure whether the best thing was to wait for all accounts to default before starting payment plans or if I can start with each individual account as and when they default, so that's really helpful, thank you great advice about blocking numbers too, I shall certainly do that!

The beauty of a DMP, and one that you self-manage, is that you can pretty much do what you want in terms of making/starting payment arrangements.  The priority is to get the defaults, which is how you have approached this, so hopefully things will start to fall in to place for you, sooner rather than later.  

AndersS

Suseka97 said:

AndersS said:

Suseka97 said:

AndersS said:

So I've not made a payment to most of my creditors for the last two months and have ignored all communications. I've had the default notices coming through in the post and I think I've had a letter warning that a default will be placed on my account in about a week if I don't make a payment. My understanding is that this is all moving in the right direction, following the advice on here? Today I've had emails and a text from Arvato so presumably this is the next stage. What is the advice from here? Do I continue to ignore until the defaults are all through or should I be speaking to them/explaining my situation? My original plan was to ignore all communications from creditors/debt recovery companies until all the defaults are in place then contact the creditors/debt recovery companies to set up a payment plan. Is that correct? Also any heads up about Arvato would be useful. Thanks

You are on the right lines and best to remain uncommunicative until those defaults arrive on your credit file.  Arvato are debt collectors and so I would hope that the account they hold will soon, if not already, be defaulted and when that happens you can contact them to set up whatever payment arrangement you have in mind for that particular debt.  As for getting texts, I would block their number so they have to do things in writing, albeit via email.

Fab, thank you! I wasn't sure whether the best thing was to wait for all accounts to default before starting payment plans or if I can start with each individual account as and when they default, so that's really helpful, thank you great advice about blocking numbers too, I shall certainly do that!

The beauty of a DMP, and one that you self-manage, is that you can pretty much do what you want in terms of making/starting payment arrangements.  The priority is to get the defaults, which is how you have approached this, so hopefully things will start to fall in to place for you, sooner rather than later.  

Perfect, thank you so much 

Newmum92

Well I hope I don’t jinx this by writing it, but so far since starting my journey I have had a much more positive experience than anticipated, maybe the bad stuff is yet to come, but I have found most creditors very helpful indeed.

AA loans was my biggest credit with a 20k loan. Intrum contacted me on there behalf after I sent my holding letter, and sent me a really sympathetic email. They also said that after reviewing my SOA they would accept a token payment but wanted less than I offered to make sure I had a bit left over! 

Very have just put my account on hold for 6 months without wanting anything at all

Starling bank have been amazing, sending me instant messages over the app to highlight that I am struggling and that they only want me to pay £1 a month, not £2.40, and they don’t want to review it for 9 months! 

Some I haven’t heard from, others have wrote to say they have frozen interest but haven’t actually replied to my token payment offer so im not paying them anything. 

So for anyone who was as worried as me, I have found that just by engaging with them they have been more helpful than I thought. Will be interesting to see how things pan out in a few months time! 

😊

April22

sourcrates said:

April22 said:

I also forget to mention.

I’m terrified of CCJ’s, Charging Orders, Petitions for Bankruptcy… 

I’m hoping the fact I never missed a payment and am trying to resolve things with a DMP means that these are just things I’m worrying about for no reason  

£104.000 is a lot of money granted, but as long as your paying it off, according to your budget, its unlikely further action will be taken, but you must be prepared to face these things if required, all can be dealt with, so don`t panic.

Just to go over your thoughts about creditors accepting your DMP, as Suseka97 has said, they still get paid anyway, the creditor just sells the debt on, that`s all that will happen, and then stepchange just pays the new owner, there`s usually a period of introduction and change over, but its all quite normal stuff.

Thank you very much for your kind help.
I was very nervous entering into this agreement - I must say I feel a lot calmer now… 
I hope this works out for me, I’ve been so inspired by reading some of the journeys on here. 

I have naturally been thinking worst case scenarios for everything - but I certainly know where to come for advice if these things do crop up.
Tesco said they would default me within a couple of months - as did MBNA, I’ve not yet heard if Amex, nationwide, virgin or Shawbrook are happy, I’ll let you know 
Thank you so much…