DMP mutual support thread part 13 !!

fluffyjellybaby

Hi All,

I have a question I’m hoping someone has advice on - I’m hoping to have my debts paid within the next 6-7 years fully under the DMP, but if my family member decides they want to sell the house they live in which I have the mortgage for (I took out their mortgage as they were unable to at the time so it’s solely in my name), will the profit of that be taken and used against my debts? It’s not my money as they have always paid me for the mortgage payment monthly

sourcrates

https://forums.moneysavingexpert.com/discussion/comment/81982270#Comment_81982270

Assuming the debts are all unsecured then no, of course not.

Only debts that are secured by a charge on the property would be paid first before you.

No one can take your money without consent, that would be theft.

towerofsong

Hi, I’m a newbie to the site and not sure where to post this but as I’ve just started a DMP I think this might be the best place!

I have entered a DMP with StepChange, having read many posts on this site I understand that a lot of you manage DMPs independently but I just wanted a bit of a crutch I suppose.

I have debt with 8 creditors, one of which is my local credit union. I received a letter from them stating that they aren’t willing to accept the reduced payment from StepChange (£62 per month) but would accept £79. They indicated that they’d be willing to take the monthly payment of £62 from StepChange and I could then pay the extra £17 separately. Having read that credit unions can be difficult with DMPs I’m verging towards making the extra payment but I imagine that StepChange will be very much against this. My question is, if you were in my position what would you do? Also, if I run with making the extra payment, would StepChange find out?
Thank you.

sourcrates

https://forums.moneysavingexpert.com/discussion/comment/81994658#Comment_81994658

The question has to be, would a CCJ affect you in any way?

If the answer is yes, then look to make that extra payment to the credit union, as they can be litigous.

On the other hand, if a CCJ would not be an issue for you, then continue with the £62, they can`t make you increase what you pay, as the county court system uses the same budget stepchange do to decide the value of payments, so they would be no better off by taking legal action against you.

towerofsong

https://forums.moneysavingexpert.com/discussion/comment/81994787#Comment_81994787

Thanks Sourcrates, I have a mortgage and work as a teacher so don’t think a CCJ would affect me? Saying that I’d prefer to avoid one. Should I tell StepChange about the extra payment or just do it without telling them?

sourcrates

If you tell them, it may mean they won`t continue to act for you, as their mantra is to treat all creditors fairly, and not preference one over another, even though you have good reason to do so.

I can`t say what you should do, only that self management is very easy, and that would remove your issue, as you can do as you please when you are the boss.

AgentBigBoss

I agree about above. I also prefer to be the boss! 😎 Regards to everyone here 😬

towerofsong

sourcrates and agentbigboss, thanks.
I am starting to see the benefits of self-management, I was just terrified of it at the beginning. I haven’t made my first payment to StepChange yet. Is there a step by step guide of self- management available anywhere?
On another note, NatWest sent me a default notice last week which is really quick I think, if I were to self manage this what would be my next step with them? Thanks again.

Makingabobor2

I agree about self managed DMPs. We started off with SC, but been self managed for a few years now. Only trouble is I have noticed, is that as the years go by, creditors are more reluctant to offer us F&F settlement offers. I was surprised, as I thought they would be keen to get the debt out of the way.

SpireCaptain

Hello, glad to hear things are running smoothly. I'm not quite there yet. May I ask how much you pay per month in your DMP and also have any of your debts been sold on since defaulting?

Quite dispiriting to hear about the lack of F&FS as it's now after a few years when you might have more of a fighting fund. They must just be happy to see amounts come in month on month and know your diligently paying the whole amount eventually.