DMP mutual support thread part 13 !!

sourcrates

lillypoo said:

Have now had letter from westcot. @sourcrates @fatbelly sorry to ask again but di I need to send a soa or can i just state what my payment will be?

You don`t need to send anything, you don`t need to tell them anything, Wescott will be acting as a collector in this instance, the only instruction they will have is to get you to set up a payment plan.

You can likely do this on their website, very simple, very easy, no talking to anyone or any explanation required, simply make your payment arrangements with them online, and your done.

lillypoo

Thank you as always

DigSunPap

It means the creditor rejected StepChange's proposed payment offer. The creditor is open to negotiating a repayment plan, and they are essentially suggesting that you work with them directly to determine a repayment amount that aligns with your ability to pay, rather than the amount initially proposed by StepChange.

bluebell_on_track

Hi there, 

I have about 10 accounts which have defaulted. I am now starting to be in a position to settle these and I am receiving discounted settlement offers. My defaults on my credit file has been on about 2 years so I’m theory have 4 years approx left before they start to fall off. If I partially settle, does this start the 6 years again? What am I best to do? Advice (as ever) gratefully received. ♥️ 

sourcrates

bluebell_on_track said:

Hi there, 

I have about 10 accounts which have defaulted. I am now starting to be in a position to settle these and I am receiving discounted settlement offers. My defaults on my credit file has been on about 2 years so I’m theory have 4 years approx left before they start to fall off. If I partially settle, does this start the 6 years again? What am I best to do? Advice (as ever) gratefully received. ♥️ 

Nothing you do alters the time a default shows on your file for.

Its an automatic process, that you cannot alter or affect.

Settle your debts for as little as possible, the whole entry will still drop off after 6 years regardless of what you do.

gelfling8319

Well here goes……..
After several years of struggle and a severe mental breakdown I last week made the decision to take back control of my finances/life and take the plunge into a DMP. I’ve always been able to pay on time and been petrified to miss a payment so this is a scary new place for me financially and 

Emotionally. 

I currently owe £51K (eek) and have got to the point where I won’t be able to pay my priority bills if I carry on paying non-priority bills. I am planning to self manage as I’d like control over who gets paid which amounts and feel strong enough now to deal with communication from creditors. 

This is where I am so far:
- Created a new bank account not linked to any of my debts 
- Cancelled DDs to all creditors 
-Registered with Nedcab and got a reference number and completed the budget calculations. 

What I’d like some advice on is whether I send holding letters to my creditors now to freeze the accounts or just wait for defaults? Is there anything else I need to do right now apart from save an EF using funds I would have paid debts? 

Thank you in advance for any advice. I have spent the last few weeks trawling this forum and it has given me strength to know there are people willing to support and help….I don’t feel so alone. 

Have a lovely week all ☺️

CurlyTop11

Hi all,

This is a long way off for me, but looking to the future and hopefully a debt free life. Does anyone know when a DMP 'officially starts' if you are doing it self managed? Is it the date of your last default? First default? When you start making payments to final default?

The reason I ask is because I have seen a few things about you can get a mortgage 12 months/24 months/36 months after starting a DMP as long as there are no missed payments.

Like I say, a long way off for me, however it's good to try and aim for light at the end of the tunnel.

Thanks

sourcrates

Debt management is an informal debt solution, it is not recorded anywhere, there is no start/finish to it.

It will be the defaults associated with your debts that leave a mark on your credit file.

Once the 6 years are up, that`s it.

NE2023

Hi, I am new here and just need some help. I have decided to go into a DMP with stepchange but before I do I have done some research and have seen that people recommend getting defaults before entering. This month I have not paid my creditors and and now receiving calls and texts from various creditors. 

Do I need to contact them before going into the dmp to tell them that I am entering a dmp, or just keep quiet until I do enter? I am just scared of them taking things further e.g CCJ, any help would be greatly appreciated, thanks 

sourcrates

NE2023 said:

Hi, I am new here and just need some help. I have decided to go into a DMP with stepchange but before I do I have done some research and have seen that people recommend getting defaults before entering. This month I have not paid my creditors and and now receiving calls and texts from various creditors. 

Do I need to contact them before going into the dmp to tell them that I am entering a dmp, or just keep quiet until I do enter? I am just scared of them taking things further e.g CCJ, any help would be greatly appreciated, thanks 

Welcome to the thread @NE2023

First off, have a good read of this thread, I know its a long one, but all the answers to any question you could ever think of are contained within it.

Forget CCJ`s, they are only a possibility a lot further down the line than you are now.
We do recommend getting defaulted first, however that is becoming harder due to FCA regulation on treating customers in debt fairly, and unless your fully "au faix" with the pro`s and con`s of the process involved, it can be a long drag.

Basically if your going the Stepchange route, try and save a reasonable emergency fund up first, and budget an amount to keep adding to that monthly, then let Stepchange do their thing, normally accounts will default anyway once the contractual payments stop, and if they don`t, then you complain.

This is likely the best advice to give someone just stating out in debt management in the current climate.

As you become more informed, there may be the possibility of full and final settlements later on at some point, and maybe self management, but as a newbie, you are best starting out the Stepchange way.

They will contact your creditors for you, there`s no harm in you telling them as well, but don`t expect things to happen quickly, debt collection is quite a long, drawn out thing, nothing happens quickly.