DMP mutual support thread part 13 !!

JD8884

@sourcrates

Thanks for the reply, it's good to know that the part settled would vanish along with the default. It will still take me a good while to get to that point but gives me hope for the future.

Step change suggested I would need at least 40% settlement funds before they could even put it to the creditors but something to work towards.

The end is in sight thankfully, they suggested I should consider bankruptcy back in 2020 but I borrowed it so wanted to at least try and pay it back.

Sly72

happytimesahead said:

Hi all,

I’m in the process of building up an emergency fund/ waiting for defaults prior to starting a DMP, which I’m hoping to do self-managed.
I’ve missed 2 payments so far on a loan with Lendable, and they’ve sent me an email this week stating:
“We'll visit you at home next week

You're falling behind with your loan repayments. 

If we do not hear from you or receive a payment within the next 7 days, we will instruct our representatives, Fieldcall Limited, to visit you at your home address to reconnect with you.”

I didn’t think they’d have people sent out to my house before defaulting to be honest so this is a bit of a surprise! Has anyone else had this?

I’m happy to block/ignore letters & calls whilst I wait for the defaults so I can get the DMP started, but having people knocking on the door is a bit of a step up, so I’m not sure whether to keep holding out for the default, or just bite the bullet and start reduced payments before they default the account. 

Any advice would be appreciated, thanks! 

Hi  I am with Lendable not paid for over a year now they have defaulted the account but have had no contact with them.

I would add that Field Call appear to be a debt collector and not a bailiff. They cannot be a bailiff unless you have a CCJ for this debt, which means they have no right of entry or repossession.

If they did visit you, you don't need to deal with them and can just ask them to leave, and they should go.

Just a word of warning with Lendable if you decided to do the CCA process if you log onto your account a copy of the CCA is available so be prepared, but dont chase em.

Fellalis89

Hi, I was wondering if someone would be able to clarify something for me please.

I'm on a self managed DMP and one of my debts is still with the original creditor. They confirmed that my account has been defaulted: "Thanks for getting back to me, a notice of default was sent 09/10/2022 and the account has been defaulted." This is also showing as defaulted on credit reference agencies.

I have sent them across my SOA with a repayment plan they have agreed too.

However, in another response they advised "Just to make you aware of the implications of arrears on your account; it may have an impact on your credit file, which could affect your ability to obtain credit in the future. While the arrangement is in place your account will be reported each month to the Credit Reference agencies as being in an arrangement to pay."

After the 6 year period when the default drops off, will this affect my credit score/report as I will not have paid this debt off before the end of the 6 year period? 

TIA 

cloudyunicorn

Good Afternoon everyone,

I have been on my DMP since March and yesterday received a “final demand” letter from HSBC demanding that the full amount of my overdraft needs to be paid by the 17th September.

Does this mean that they are defaulting my account after this date? Also does anybody have any experience with HSBC and what would happen once the account has been defaulted and who this will be passed on to? 

They are also sending me emails and text messages every other day to call them. 

Any advice is appreciated.

Thank you 

sourcrates

Fellalis89 said:

Hi, I was wondering if someone would be able to clarify something for me please.

I'm on a self managed DMP and one of my debts is still with the original creditor. They confirmed that my account has been defaulted: "Thanks for getting back to me, a notice of default was sent 09/10/2022 and the account has been defaulted." This is also showing as defaulted on credit reference agencies.

I have sent them across my SOA with a repayment plan they have agreed too.

However, in another response they advised "Just to make you aware of the implications of arrears on your account; it may have an impact on your credit file, which could affect your ability to obtain credit in the future. While the arrangement is in place your account will be reported each month to the Credit Reference agencies as being in an arrangement to pay."

After the 6 year period when the default drops off, will this affect my credit score/report as I will not have paid this debt off before the end of the 6 year period? 

TIA 

It`s either a default, or an arrangement to pay, it cannot be both.

sourcrates

cloudyunicorn said:

Good Afternoon everyone,

I have been on my DMP since March and yesterday received a “final demand” letter from HSBC demanding that the full amount of my overdraft needs to be paid by the 17th September.

Does this mean that they are defaulting my account after this date? Also does anybody have any experience with HSBC and what would happen once the account has been defaulted and who this will be passed on to? 

They are also sending me emails and text messages every other day to call them. 

Any advice is appreciated.

Thank you 

Yes it`s all part of the default process, banks are quite slow at this sometimes.

Initially it may stay with their inhouse collections team, Metropolitan collection services, after which it may be assigned to an outside collector, or the debt may be sold, no telling which option they will take.

As to who that will be, that`s a commercial decision for them to make.

JD8884

Evening All,

Thanks for earlier advice, I have been spending some time looking at my DMP and credit reports and noticed a lot of the defaults are a year after the DMP was initiated and payments made.

Is this when the debt would have been sold on and are they right to default the debt at that point as assume they would have defaulted when I made the first reduced payment. I know Halifax done a big review and settled one of my debts due to raising a default and wondering if others have done similar?

Floss

Just a couple of quick questions: Natwest has confirmed in writing that they will no longer collecting their debt. Am I at risk of this being sold on in future, or can I now forget about it (and if so, how will it show on my record?)

sourcrates

Floss said:

Just a couple of quick questions: Natwest has confirmed in writing that they will no longer collecting their debt. Am I at risk of this being sold on in future, or can I now forget about it (and if so, how will it show on my record?)

What does the letter say ?

sourcrates

JD8884 said:

Evening All,

Thanks for earlier advice, I have been spending some time looking at my DMP and credit reports and noticed a lot of the defaults are a year after the DMP was initiated and payments made.

Is this when the debt would have been sold on and are they right to default the debt at that point as assume they would have defaulted when I made the first reduced payment. I know Halifax done a big review and settled one of my debts due to raising a default and wondering if others have done similar?

They can`t default an account for one reduced payment, guidance states an account can be defaulted after between 3 and 6 missed payments, CONC 7.3 FCA Handbook - CONC 7.3 Treatment of customers in default or arrears (including repossessions): lenders, owners and debt collectors - FCA Handbook