DMP mutual support thread part 13 !!

lisamarie85

happytimesahead

I’m not sure if it’s too late for you to do this, but I went with PayPlan and I didn’t stop my payments prior to starting my DMP. I was struggling every month to keep up, so I spoke to PP who assessed everything and suggested starting the DMP, so they did that and started the token payments. I didn’t have any issues and it meant my creditors (although only 3) all defaulted within about 3 weeks of each other. I didn’t like SC, I didn’t find them helpful or assuring. PP have been fantastic! 

lillypoo

lisamarie85 said:

happytimesahead

I’m not sure if it’s too late for you to do this, but I went with PayPlan and I didn’t stop my payments prior to starting my DMP. I was struggling every month to keep up, so I spoke to PP who assessed everything and suggested starting the DMP, so they did that and started the token payments. I didn’t have any issues and it meant my creditors (although only 3) all defaulted within about 3 weeks of each other. I didn’t like SC, I didn’t find them helpful or assuring. PP have been fantastic! 

But did you have time to build up an emergency fund?

We are all different but personally I am on my second month of missed payments and have saved eat would have gone to my creditors for future emergencies. I would not go straight in to a dmp without doubgbthis a d getting defaults

lisamarie85

lillypoo said:

lisamarie85 said:

happytimesahead

I’m not sure if it’s too late for you to do this, but I went with PayPlan and I didn’t stop my payments prior to starting my DMP. I was struggling every month to keep up, so I spoke to PP who assessed everything and suggested starting the DMP, so they did that and started the token payments. I didn’t have any issues and it meant my creditors (although only 3) all defaulted within about 3 weeks of each other. I didn’t like SC, I didn’t find them helpful or assuring. PP have been fantastic! 

But did you have time to build up an emergency fund?

We are all different but personally I am on my second month of missed payments and have saved eat would have gone to my creditors for future emergencies. I would not go straight in to a dmp without doubgbthis a d getting defaults

As you say, we’re all different but I’m 18 months in now and have never needed credit since starting. That’s why I suggested speaking with PP to the op as they discuss your personal circumstances. But since the op was asking about when the companies will default, doing it my way they all defaulted close together which was the issue they were asking about. 

sourcrates

lisamarie85 said:

Sourcrates you always offer such fabulous (sensible!) advice, could you look at my post on the last page and see if you can help? I wonder if it’s been missed as nobody has replied to me. Thank you 

Creditors just tend to mark debts as "settled" or "satisfied" anyway, no matter what deal may have been struck beforehand.

I think it depends on the lender, but to be honest, the damage has already been done to your credit file with defaults/debt management etc, so how the account is marked when settled is of no real consequence.

The whole entry drops off after 6 years anyway.

lillypoo

Hoping someone can reassure me over the wording in a letter I got from one of my creditors please.

I've missed 3 payments on this particular credit card. Waiting fir defaults so that I can then do a dmp.

It's the bit i have put in uppercase which concerns me.

"If you do not make contact with us, our collections process will continue, which may result in you receiving a default notice. This will tell you how much you need to pay to get back on track and by when. Unless you are able to repay the overdue amount in a reasonable time, THE NEXT STEP WOULD BE TO SEND YOU A FINAL DEMAND FOR THE FULL AMOUNT YOU OWE"

am I relatively safe to assume that if I start making payments within a dmp (after defaults) I'm highly unlikely to get a final demand for the full amount?

Floss

Don't worry, it's part of the whole "let's scare them into paying" thing, and is part of the process before being defaulted.

At the end of the day, it's just words and as long as you keep paying your priority payments (mortgage, CT etc) you will be fine.

lillypoo

Floss said:

Don't worry, it's part of the whole "let's scare them into paying" thing, and is part of the process before being defaulted.

At the end of the day, it's just words and as long as you keep paying your priority payments (mortgage, CT etc) you will be fine.

Thanks floss. I did think that but needed to hear/read someone else say it. Thanks ...I can breathe again  now!

sourcrates

lillypoo said:

Floss said:

Don't worry, it's part of the whole "let's scare them into paying" thing, and is part of the process before being defaulted.

At the end of the day, it's just words and as long as you keep paying your priority payments (mortgage, CT etc) you will be fine.

Thanks floss. I did think that but needed to hear/read someone else say it. Thanks ...I can breathe again  now!

Standard collection letter wording, they are obliged to make you aware of potential consequences of non payment, nothing they write in their collection letters is going to damage you.

Remember, the very worst case scenario is they take you to court and you repay the debt at an affordable monthly amount, according to your budget, now what is scary about that ?

Keep breathing, keep doing what your doing, ignore the silly letters.

swansea_lad

Hi all

I paid off my DMP with Payplan in February. I have today received a Sainsburys Credit Card. They were one of my Creditors. Maybe they did not close my account. Anyone else received a Credit Card after paying off their debt?

sourcrates

@swansea_lad

Your account cannot have defaulted, so your debt management was just an arrangement to pay your outstanding balance, now you have done so, Sainsburys obviously still regard you as a customer.

That may or may not be an advantage to you, depending on how you view this.