DMP mutual support thread part 13 !!

debarob

Hi guys

i recently posted on here looking for advice on how to approach my creditors about making final offers on my debts, everyone was extremely helpful and i have now created letters for each creditor with an offer. However, after reading more posts on here i have noticed that other people are also in this situation and are requesting a CCA, before they send final offers. Firstly, i don't know what one of these is and secondly, do i need to do this too.

i've also noticed people talking about debts that are 'unenforceable', how do you know if a debt is unenforceable, and what action should be taken in this instance? i have been paying off my debts for nearly 8 years and if there not enforceable i don't want to send out final offers if i don't need to.

i have also noticed that all but one of these debts have disappeared from my credit file, the one that hasn't for some reason hasn't updated since the original loan defaulted and does not reflect a true representation that is owed on the account. i'm also concerned as to why this one hasn't disappeared from my account, as it is now the only thing on my report impacting negatively (i have been paying them monthly through a DMP for the past 7 years). what will happen with regards to my credit report if i stop paying my DMP, and how do i get the one debt still on their updated?

any advice would be helpful

thank you

January2015

debarob wrote: »

Hi guys

i recently posted on here looking for advice on how to approach my creditors about making final offers on my debts, everyone was extremely helpful and i have now created letters for each creditor with an offer. However, after reading more posts on here i have noticed that other people are also in this situation and are requesting a CCA, before they send final offers. Firstly, i don't know what one of these is and secondly, do i need to do this too.

i've also noticed people talking about debts that are 'unenforceable', how do you know if a debt is unenforceable, and what action should be taken in this instance? i have been paying off my debts for nearly 8 years and if there not enforceable i don't want to send out final offers if i don't need to.

i have also noticed that all but one of these debts have disappeared from my credit file, the one that hasn't for some reason hasn't updated since the original loan defaulted and does not reflect a true representation that is owed on the account. i'm also concerned as to why this one hasn't disappeared from my account, as it is now the only thing on my report impacting negatively (i have been paying them monthly through a DMP for the past 7 years). what will happen with regards to my credit report if i stop paying my DMP, and how do i get the one debt still on their updated?

any advice would be helpful

thank you

Definitely send of for CCA request on every debt you have - with the exception of any overdraft debt as it will not be covered by a CCA anyway.

If your debts pre-date 2008 there is potential they could be unenforceable (UE) so definitely worth checking. Even if you took them out after 2008 there is still a possibility they are UE but it is far less likely.

Once you get your documents back from the CCA requests you need to get them checked out. We use website All About Debt - join the site and visit the unenforceability section and ask over there. They are fantastic and can advise on whether a CCA is unenforceable and if so why - and guide you through what to do.

Regarding your credit report - it is likely most, if not all, of your debts have defaulted already. They will disappear from your credit file six years after the date of default regardless of whether they are cleared or not - so I wouldn't worry about your credit file. That may also be the reason one of the debts has already disappeared from your credit file. However, if it is not six years since it defaulted it may be that it is changing hands and the existing creditor has removed their entry on credit files and the new owner (probably a debt collection agency (DCA)) has not yet notified credit reference agencies.

Edit: forgot to say - your credit reference files can't get any worse than they already are if you are on a DMP.

Suseka97

Norfolk_Jim wrote: »

Hello, I've been reading through the posts after being given a link to this thread while I was on the DFW board.
I am considering the advice Stepchange have given me to go on a DMP or go bankrupt. I really don't want to go bankrupt but my DMP would last 30+ years. However I will 55 in less than a year and I do have a pension I could cash (Not my main pension for retirement) and I was thinking that after a time I could use it to make F&F offers on my overall debts (c£45,000)
I bank with Nationwide. I also have an account with Metro at a branch in London. My mortgage is with Nationwide as are all my SO's and DD's. I also owe nearly £4000 to my nationwide credit card.
Ahead of going on a DMP should I be looking to transfer all of my DDs and SO's to Metro? (I'm not sure how I would do day to day paying in with Metro - I only got the account to use when in Europe) or would it be worth trying to keep my current account with Nationwide somehow?

Hello again.
As I mentioned on the other thread, if it were me I'd leave the pension pot alone and just use your salaried income for the DMP for now. Try not to focus on the number of years (appreciating that's easier said than done) - CBC is a good example to follow. You never know what's on the horizon, so its best to just kickstart the DMP and see what happens. You'll see in my signature the number of creditors I was dealing with - and whilst it takes a bit to get things up and running, it all settled down and the DMP just trundled along. Whilst I wasn't facing such a long term, the starting debt balance was daunting and I couldn't back then imagine being where I am today.

You will need to move your income/s and all your priority DDs out of the Nationwide bank, seeing as they will be part of your DMP. I'm not familiar with the Metro Bank, but there are quite a few basic bank accounts available these days. SC will expect you to get a 'basic account' that has no overdraft facility - so that's something to bear in mind. Also do make sure the bank you opt for doesn't have any association with any of your debts (CCs and Loans).

I was with Barclays as was the OH and he'd banked with them for over 30 years, but we had to move everything because we had loans and credit card debts with them. I moved to Nationwide as we had a mortgage and some insurances with them. It was very easy to set up online - so I'm sure you'll find likewise if you find a bank your happy with. Also, don't use their switching services - that will keep you under the radar until you are ready to let them know you are in financial difficulty.

Hope that helps and good luck.

January2015

Norfolk_Jim wrote: »

Hello, I've been reading through the posts after being given a link to this thread while I was on the DFW board.
I am considering the advice Stepchange have given me to go on a DMP or go bankrupt. I really don't want to go bankrupt but my DMP would last 30+ years. However I will 55 in less than a year and I do have a pension I could cash (Not my main pension for retirement) and I was thinking that after a time I could use it to make F&F offers on my overall debts (c£45,000)
I bank with Nationwide. I also have an account with Metro at a branch in London. My mortgage is with Nationwide as are all my SO's and DD's. I also owe nearly £4000 to my nationwide credit card.
Ahead of going on a DMP should I be looking to transfer all of my DDs and SO's to Metro? (I'm not sure how I would do day to day paying in with Metro - I only got the account to use when in Europe) or would it be worth trying to keep my current account with Nationwide somehow?

Ditch N/Wide as your bank. They will have the right to offset your debts against any funds you have in the current account - you don't want to risk that. Definitely transfer all incoming payments such as salary etc to Metro or another bank. SOs and DDs - only transfer priority payments such as mortgage, gas, electric, water, etc. Immediately stop paying any non priority creditors.

If you want to use Metro you can, alternatively you can open a basic account with another bank - very easy to do online. I very rarely actually visit a bank branch - seem to do all our banking online or via card transactions, so think about how often you would need to physically visit a branch and you may decide Metro will work for you after all.

[Deleted User]

January2015 wrote: »

If you want to use Metro you can, alternatively you can open a basic account with another bank - very easy to do online. I very rarely actually visit a bank branch - seem to do all our banking online or via card transactions, so think about how often you would need to physically visit a branch and you may decide Metro will work for you after all.

Same here. I've been with Nationwide since early 2013 and I've never even set foot in a branch:rotfl:. Nearest one is 17 miles away anyway and I can do all I want online, via card or at any other ATM if I need cash.

Dandytf

That's my 3rd SC dmp debt cleared -Natwide overdraft £930 to Zero.
I'll continue with SC until possibly 2022 which seems achievable.
Maybe I'll eventually behave myself with Tech upgrades -though dependent on what is released, probably not.
My recent overdraft with another bank is strictly £250 limit.
Priorities are changing from 2019 and later.
1. Increase mtg payment -could be dependent on next years rate rises if they happen during 2019.
2. Find a few pounds and Increase SC payments -though to make it worthwhile and take a year of end date would cost a few pounds indeed.
3. Continue H2s -and possibly find a few pounds to use Virgin e-saver recently depleted.
4.Resist tech temptations -though recent iPads look value@£15 per month less than current 10.5
5. Continue reviewing mse forum's for some sound advice and maybe criticism sometimes

yoyo33

Hi. After recent advice given on this forum.
I'm using NEDCAB website and it's really great
So thanks for that info people :T

Also just wanted to ask. I'm doing the budget planner bit. And it recomends at least £510 for housekeeping and it says that's for food / housekeeping. Does that also include like... dry cleaning and all the other extras? Don't mean to sound thick.
I've listed everything separately using the original budget sheet info from stepchange website.
This food/housekeeping bit flags up if I put anything less than 510 this is for 2 adults and 2 children.
This seems really high but says its too low. I want it to go and smoothly as possible.
Would it be best to put the food amount in there for what I feel is right and itemize everything else? And ignore the flagged up info
Im going to be printing out the offer letters tomorrow, I also want to mention about no contact by phone. Do you think would be better to send separate letters or shall I include that info on the same dmp payment offer letter?
if I'm honest I'm a bit nervous about sending them all. Bit will.be pleased once it's done.

Thanks all

January2015

yoyo33 wrote: »

Hi. After recent advice given on this forum.
I'm using NEDCAB website and it's really great
So thanks for that info people :T

Also just wanted to ask. I'm doing the budget planner bit. And it recomends at least £510 for housekeeping and it says that's for food / housekeeping. Does that also include like... dry cleaning and all the other extras? Don't mean to sound thick.
I've listed everything separately using the original budget sheet info from stepchange website.
This food/housekeeping bit flags up if I put anything less than 510 this is for 2 adults and 2 children.
This seems really high but says its too low. I want it to go and smoothly as possible.
Would it be best to put the food amount in there for what I feel is right and itemize everything else? And ignore the flagged up info
Im going to be printing out the offer letters tomorrow, I also want to mention about no contact by phone. Do you think would be better to send separate letters or shall I include that info on the same dmp payment offer letter?
if I'm honest I'm a bit nervous about sending them all. Bit will.be pleased once it's done.

Thanks all

From memory, I think there is a 'sundries' box, which I would think could be used for dry cleaning etc.

I would recommend making as many categories as high as possible (NEDCAB site warns if category amount is too high - if this is the case adjust it down until no warning appears). By doing this you have 'wriggle room' in your budget.

Just include the no phone contact in the offer letter. State clearly you do not give permission for them to contact you by phone and all communication must be in writing. If you are happy to receive communication by email then include your email address. We set up email address specifically for our debts only. Email has the advantage that you can respond back without having to worry about postage costs and you know it's been delivered/received more or less straight away.

yoyo33

That's great. Thanks January.

I'll add the info on the same letter then.
And yes good idea email is a good idea. I don't want to speak to them. But like you said. It can be frustrating waiting to postal timescales.

Thanks for your help

Ethel_and_Ernest

Morning everyone!

Firstly I just want to say thank you to everyone who has offered advice to us personally and also to all who share their journey. I love this forum and you guys are keeping me sane(ish). Just to know that we're not alone is so reassuring.

So, we have decided to manage our DMP ourselves! (That's the royal 'we' - Ernie is fully on board but I will be responsible for most of the doing)

After poring over numerous posts and a lengthy discussion we decided that we are going to be 'punished' by defaults anyway. I'm feeling quite positive and plan to take a proactive approach, maintaining contact with everyone on a monthly basis, even if it's just to say that our circumstances haven't changed yet. We may as well try and speed up the default process AND save whatever we can in the meantime until we're ready to start.

This represents a brand new, exciting financial start for us and our future will not involve credit agreements.

I've registered with the NEDCAB website, it looks straight forward and we now have a reference number.

However, we have already (verbally) provided some of our creditors with a StepChange reference number and don't want to confuse the issue with those lenders. I was thinking of amending the NEDCAB generated letter to read something like 'following input from both StepChange (ref 123) and NEDCAB, we have been advised that a DMP is the best solution to our debt problem'.

Does this sound ok?

We have:
2x RBS loans
1x RBS credit card
1x Virgin credit card
2x MBNA credit cards
1x Sainsbury's credit card

Also, we were given 30 days breathing space from RBS and Virgin CC following our initial phone calls. Is it worth sending these lenders the standard letter anyway? Or should I complete the next step for these lenders and send them the budget and token payment?

Thanks,
Ethel x