DMP mutual support thread part 13 !!

lulabelle01

lulabelle01 wrote: »

I’ve not made any payments to my cards since September/October. I sent letters and offers for monthly payments which have been accepted and both companies I’m dealing with have said they’ll default me but it hasn’t happened yet. I’m in a position now to start making payments but am I best to hold off until the defaults have been issued or should I start making payments now?

Any advice anyone?

sourcrates

lulabelle01 wrote: »

Any advice anyone?

Hi,


Apologies for the late response, certainly wait until they default you, otherwise its all been for nothing, save as much as you can in that emergency fund.

If they don`t default you, interest and charges can still be applied, you don`t want that to happen.
Once defaulted all interest and charges cease completely, that is your goal for now.

Lifeisforliving19

Queen_of_Swords wrote: »

I have just checked Nationwide and it won't let me apply for the Flex Basic because I am not bankrupt and have another UK current account. The next one up is the Flex Account but that has an overdraft facility. So no good I guess? I will sort out what I can do for an emergency fund, meantime.I have stuff I could sell on eBay and hold balance in Paypal until I get bank account sorted out. Thank you all so much for your support and advice.

That's very odd, OH and I both changed to NW when we started our DMP.

Suseka97

Queen_of_Swords wrote: »

I have just checked Nationwide and it won't let me apply for the Flex Basic because I am not bankrupt and have another UK current account. The next one up is the Flex Account but that has an overdraft facility. So no good I guess? I will sort out what I can do for an emergency fund, meantime.I have stuff I could sell on eBay and hold balance in Paypal until I get bank account sorted out. Thank you all so much for your support and advice.

I know the general advice / view is to move to a basic account - but it's more important to move to a bank that has no financial relations with any of your debts. When we started most of our debts were with Barclays, who we banked with at the time, but we also held a standard current account with Norwich & Peterborough, which had OD facilities and a chequebook (something most, if not all, basic accounts don't offer). Anyway, we moved over to using that standard current account and closed the Barclays one. I've only recently (in the last 12 - 18mths) had to move over to a basic account because the N&P closed their banking arm and my credit record obviously only allowed me to open a basic one.

I think in the main the reason to go for a basic at the outset is to not have access to credit in the form of an overdraft - and to instil good habits of living within your means. I have to admit that I did find the overdraft I had access to came in handy when we were really pinched for money - but that was mainly because our DMP payments were essentially too high.

The reason I mention this is because its really up to you and if you think you can keep your spending in check and not rely on or use that overdraft - having a standard account is fine, in my humble opinion. Also maybe you could open the Flex account and just tell them you don't want any overdraft facility - just a thought.

Icarus01

Queen_of_Swords wrote: »

I have just checked Nationwide and it won't let me apply for the Flex Basic because I am not bankrupt and have another UK current account. The next one up is the Flex Account but that has an overdraft facility. So no good I guess? I will sort out what I can do for an emergency fund, meantime.I have stuff I could sell on eBay and hold balance in Paypal until I get bank account sorted out. Thank you all so much for your support and advice.

Hi Queen of Swords,


I switched to Nationwide when starting my DMP. When you apply for the FlexAccount online or in-branch there's an option to enable/disable the overdraft (I can't remember which way). HTH

Icarus01

Other than the fact there are free DMP services available, avoid Gregory Pennington like the plague! 3 months in and they had still not setup the majority of my payment plans. Took control of it myself and managed to sort everything within a week (+£90 extra towards paying my creditors by avoiding their free)


Can sleep easy tonight

sourcrates

Icarus01 wrote: »

Other than the fact there are free DMP services available, avoid Gregory Pennington like the plague! 3 months in and they had still not setup the majority of my payment plans. Took control of it myself and managed to sort everything within a week (+£90 extra towards paying my creditors by avoiding their free)


Can sleep easy tonight

Self managed can be the best choice, fee charging companies only want your money and have little interest in providing you with a good service.


Stepchange/payplan are funded by the banks, they provide a good service for those that need it, but are not to everyone's taste.

Thomas2090

Finally faced up to the fact after advise that this is the best option for me to get out of debt and be able sleep at night.
Should of done this earlier as I been paying hundreds on interest each month.
I’ve done the account froze letter now I’m onto the income/expenditure form.
I have 4 debts with hitachi,capital one,aqua and Barclaycard it’s going to take years to clear them all but it’s my own fault.
Has anyone any recommendations when doing their own DMP??
Any less obvious things you miss out??
Also should I ask for the accountants to be defaulted soon as??
Reading through these pages has helped me loads
Thank you

Rebeccadougherty

Hi all
I hope everyone is ok and had a wonderful Christmas. I've not posted in a while. I've now been on the DMP for a year, and 6,000 is paid odd, down to just over 20,000. That's pretty groovy! I still haven't told anyone about it, and I'm still worried about people finding out, but it's been ok really. I was looking on my account on step change and the one that worried me the most is the one that has had the most paid off as it is the biggest.
One thing really bugs me about it though, the initial loan was 5,000 I believe, and it has another 5000 on top of it as interest that I stupidly agreed to pay when I took it out. What was I thinking. Another two grand and the amount I had will be paid and I'll be paying the interest. I really wish I could have the interest taken off, they shouldn't have given me the loan at all and I shouldn't gave taken it but oh I wish they'd refused to give it to me. It was every day loans. I know I have to pay it but part of me really resents it. Oh well. I think I'm doing quite well to have done so much nobody will see this probably, my posts usually get missed aha.

sourcrates

Rebeccadougherty wrote: »

Hi all
I hope everyone is ok and had a wonderful Christmas. I've not posted in a while. I've now been on the DMP for a year, and 6,000 is paid odd, down to just over 20,000. That's pretty groovy! I still haven't told anyone about it, and I'm still worried about people finding out, but it's been ok really. I was looking on my account on step change and the one that worried me the most is the one that has had the most paid off as it is the biggest.
One thing really bugs me about it though, the initial loan was 5,000 I believe, and it has another 5000 on top of it as interest that I stupidly agreed to pay when I took it out. What was I thinking. Another two grand and the amount I had will be paid and I'll be paying the interest. I really wish I could have the interest taken off, they shouldn't have given me the loan at all and I shouldn't gave taken it but oh I wish they'd refused to give it to me. It was every day loans. I know I have to pay it but part of me really resents it. Oh well. I think I'm doing quite well to have done so much nobody will see this probably, my posts usually get missed aha.

Nah, seen ya 😉