DMP mutual support thread part 13 !!

Lifeisforliving19

ChelbyH5 wrote: »

Thanks for the advice. That’s very reassuring! I’ve read a lot of posts suggesting that a new bank account is necessary. Why is this? I have an £800 OD on my account. Would it be best to transfer to a new one? Thanks again

You need to open a new bank account with a company that you have no debts with. It needs to be a basic account with no overdraft facility. Nationwide seem to be about the best. Easy to set up, brilliant internet banking and you can then set up as many savings account from it as you want to transfer money each month for different things.

Palpitations

Many thanks for this - silly question but do people make payments from new bank account?? Thanks

Palpitations

Hi all continuing to read through the old forums and not sure if it’s throwing up more questions (sorry) read a post about creation asking for payslips do you have to provide these when self managing?

Puzzcat

Palpitations wrote: »

Many thanks for this - silly question but do people make payments from new bank account?? Thanks

Palpitations wrote: »

Hi all continuing to read through the old forums and not sure if it’s throwing up more questions (sorry) read a post about creation asking for payslips do you have to provide these when self managing?

Yes to your first question but by standing order not direct debit.

No to your second, I have never and would never send them to anyone.

Puzz

Palpitations

Thanks Puzzcat it’s a minefield but think I’m getting there!

Lifeisforliving19

I agree about the payslips. The only people we showed them to were SC at the beginning. Once we went SM the creditors will have to take our word for it on our I&E.

Suseka97

Money_Choices wrote: »

Hello I’m new here.
I can’t sleep because I’m worrying about a particular issue. I am claiming JSA and looking for Admin work but am considering starting a DMP. I am wondering if having a DMP will reduce my chance of applying for vacancies or just those vacancies that require a credit check?
Please can someone help me and if this is not the right forum for my question it ok to move to a more relevant place.
Moneychoices

It would have no effect in terms of applying for jobs, no. It's an informal arrangement, but I guess if you were offered a job that required you to disclose information about your financial circumstances it might. That said - I'd just go for jobs you are interested in and that pays the salary you are hoping for and don't limit your options unnecessarily.

adz2ka

Hi all, new here so be nice

Currently in around 27k debt with 1 loan and 4 credit cards. Came to the realisation that something drastically needed to change last year and devised a self finance plan to begin repaying. 6 months down the line, I'm struggling so I'm deciding on the DMP route.

I've completed the tool on StepChange and they've budgeted £385 per month to be repaid.
Firstly, is it possible to ask them to drop it to £350? I think this will take a very tiny weight off in the grand scheme of things. If this is possible, how do I do it?

Secondly, many people mention an emergency fund. I'm thinking the best way would be to open a new bank account and switch my wage over to this and not touch it for 3 months and in those 3 months contact my existing creditors saying I have been in touch with StepChange and currently creating an action plan and say I am unable to afford any repayments at the time being (essentially hoping on a default). Does this seem a suitable approach? If so, are there are letter templates I can access that I can send my creditors?

Once I've saved a few months wages, is it that point I should start my DMP? So return the direct debit form they've sent me around April pay day?


Sorry for all the questions

sourcrates

adz2ka wrote: »

Hi all, new here so be nice

Currently in around 27k debt with 1 loan and 4 credit cards. Came to the realisation that something drastically needed to change last year and devised a self finance plan to begin repaying. 6 months down the line, I'm struggling so I'm deciding on the DMP route.

I've completed the tool on StepChange and they've budgeted £385 per month to be repaid.
Firstly, is it possible to ask them to drop it to £350? I think this will take a very tiny weight off in the grand scheme of things. If this is possible, how do I do it?

Secondly, many people mention an emergency fund. I'm thinking the best way would be to open a new bank account and switch my wage over to this and not touch it for 3 months and in those 3 months contact my existing creditors saying I have been in touch with StepChange and currently creating an action plan and say I am unable to afford any repayments at the time being (essentially hoping on a default). Does this seem a suitable approach? If so, are there are letter templates I can access that I can send my creditors?

Once I've saved a few months wages, is it that point I should start my DMP? So return the direct debit form they've sent me around April pay day?

Sorry for all the questions

Hi,

Just jiggle the budget until it tally’s, it’s an anonymous tool on the stepchange site, then when the figures look ok, go with them.

You have hit the nail on the head perfectly about saving the emergency fund, that’s exactly what we recommends you do.

tantaraza

Hello everyone :wave:

I was directed onto this thread by another forum member, and if anyone is able to spare some time, I’d really appreciate some advice.

Due to some mental health issues, I haven’t been in much contact with my creditors recently. I’m now on the path to recovery, and I’ve decided to write to them to request a payment break due to:
— moving house across the country,
— a change of income/benefits, and I don’t know the new amount yet,
— and the need to build an EF.

I plan to go self-managed with my DMP as there is one creditor I don’t want to default with. The payment for them is manageable on its own and the budget can be shuffled to accommodate this one. However, I’m not sure how to phrase the need for a payment break to the other creditors — is there a draft or template letter somewhere I could use? I’ve tried looking online but the only template I found was for people who have a DMP with Stepchange.

If anyone could point me in the right direction, I would really appreciate it.

Thank you