DMP mutual support thread part 13 !!

Lifeisforliving19

ash28 wrote: »

Just thought I'd give a little update on my progress so far...


While it seems both CCAs are uneforceable (Barclaycard and Capital One), I've decided to go ahead with a self managed DMP as I don't think I could cope with the stress of anything else at the moment. However, unenforceability is something I might think about further down the road.


The DMP side has been quite straightforward and done with the help of the NEDCAB website, both creditors have accepted my monthly payment offers and both have said they will default immediately...Capital One have sent an account number to pay in to and Barclaycard have sent a standing order form to fill in and give to the bank.


I said in an earlier post that I had contacted Canada Square Operations regarding the Barclaycard which I thought had originally been an Egg card...the result - a cheque for just shy of £4k will be winging its way as I had PPI and didn't even know!!! So I have an emergency fund!


For any newbies posting, I found the advice and help on here amazing, from tweaking your expenditure to make sure every spare penny doesn't go to your creditors to a line in your correspondence telling them not to ring you.....I can't thank everyone enough.

Great result with the cheque.:T

clausentum

Hello - first time poster here. My husband and I are about 55K in debt with CCs and a Loan (for various, complicated reasons, none involving fancy cars, clothes or holidays) and I've just been diagnosed with aggressive breast cancer. We're both self-employed and I will be unable to bring in my usual earnings for about 8 months, possibly more, so we're in a pickle. We've always managed to meet every monthly payment, but that is about to change. I've been on to the National Debtline and they recommend we take out a DMP, but my husband is very leery about losing his good credit score and has a tendency to bury his head in the sand. Does anyone have experience of dealing with debts with cancer in the background? Many thanks for any advice.

KWLondon

Hello, I was part of a DMP, I am no longer in it but I am still settling some accounts directly myself. On my Check My File credit report, one of the accounts is still showing in Default - it was taken over by a debt management firom in August 17 (this is when it first appears on my file), I have been paying £250 a month since October 18 (token payments before this). Do you know when the default will be removed from my credit file? Same with older defaults / settled accounts (where a settlement was reached, rather than full repayment). I have heard that I amy be able to get a mortgage within 3 years of the defaiult first appearing on my file, others say it will take 6 years. If I settle the debt in full will it disappear quicker? Thank you

Suseka97

Australiana wrote: »

Hello forum!.............

My debts in the UK are:
Unsecured personal Loan 1: £4322
Unsecured personal Loan 2: £895
Barclaycard: £765
Overdraft: £2571
Total: £8553

My Contractual monthly repayments on the above come to £463/month. Stepchange calculated that I can only afford £333 and this is what they will offer as the payment arrangement to my creditors. They say I will be debt free in 2 years.

In addition to the above I owe about £7735 to a government student loan in Australia, and about £5400 to a student loan in the USA, which is a private student loan with rules similar to any other unsecured personal loan.

Presumably the £333 takes account of the money you are paying towards these as an expense in your I & E? Your post isn't clear on that point

Here is my confusion: on this forum people say it's better to wait for your debts to default before doing the credit arrangement? How long will that take and how scared should I be to do that?

There's no need to be scared about defaults, they are just part of the process. We like defaults because that means all interest and charges will be stopped and the clock starts ticking down from the 6 year timeline when the account falls off your credit file whether you've cleared the balance or not. In your case, you would have - so the issue for you is to get defaults to ensure interest stops. Creditors don't have to default you, which is why some folks drop their payments down to token ones to force the issue

Second, given the amount I owe in the UK and the fact that Stepchange thinks I only need to cut my payments by about 100 pounds/month to pay everything off in 2 years, is it worth trying to avoid the DMP (and therefore avoid the hit on my credit report)?

See above. They have calculated the DMP at 2 years based on the assumption that your creditors will default you and not continue to charge the interest currently being applied. So its not quite the same as just carrying on with your current payments. From what you've said, you really can't afford it right now, but if you think the extra money you will be getting in will really help you may want to hold out for a bit longer. But then again this is just dealing with the UK debt, you have others in the mix

At the same time, filling in the DMP forms and feeling like I had some control over this felt so good. I also fear that if I get a few months' breather, the situation will just rear its head again (I am very disorganised with money). I am tempted just to do the DMP and forget the hit to my credit report.

This is a personal choice and you have to do what's best for you,

Any advice much appreciated!

Welcome to the board and my condolences on the loss of your father - sounds like it has been a very stressful time for you. I've made some comments in your post, but I think you probably need to sit down and work through your options. You mention having access to more funds, so perhaps continue with your contractual payments until then and consider how best to use it and where that leaves you financially. Will you clear the student loans for example, or use that extra money for the UK debts. Are you paying off the non UK debts currently and where do you stand with those? You could head over to the main DFW board and post there because not everyone who is on a debt-free journey ends up in this board - there are many ways to resolve debt issues, so you may get some useful advice from others there.

ash28

clausentum wrote: »

Hello - first time poster here. My husband and I are about 55K in debt with CCs and a Loan (for various, complicated reasons, none involving fancy cars, clothes or holidays) and I've just been diagnosed with aggressive breast cancer. We're both self-employed and I will be unable to bring in my usual earnings for about 8 months, possibly more, so we're in a pickle. We've always managed to meet every monthly payment, but that is about to change. I've been on to the National Debtline and they recommend we take out a DMP, but my husband is very leery about losing his good credit score and has a tendency to bury his head in the sand. Does anyone have experience of dealing with debts with cancer in the background? Many thanks for any advice.

Hi,



I'm a newbie on this board myself and can't offer you any specific advice other than to say there are some amazingly knowledgeable people on here who will be along and will give you some help and advice.


I came on here last month and have had brilliant advice which I have followed and am about to start paying my DMP next month. It has been relatively painless to be honest, my creditors have been ok with everything and there have been no problems yet. While it would have been nice to keep a good credit score in the end it was a secondary consideration - the last thing I need is more credit!



I really just wanted to say good luck with your health, that's the most important thing.

[Deleted User]

Please can I ask advice about something that has probably been asked and answered many times before? If it has I'm sorry to test your patience:o


I sent CCAs re: my 2 MBNA CC debts about 18 months ago. One resulted in the requisite paperwork which I've had checked and the debt is, sadly, enforceable:(

They couldn't supply anything at all for the second debt and wrote to say it was unenforceable 'at the moment'.


I would like more information than the credit agreement type of stuff that I got/didn't get with the CCA requests. Is a SAR likely to result in lots more information about the history of my dealings with them which is what I'm after? Is it likely, do you think, that the CC account that didn't produce any paperwork whatsoever might have other data available that they could send me? Both cards were taken out in the same year, both with MBNA but one is an affinity charity card and one is a regular MBNA card.


Both accounts have been bought by LINK. Who should I submit the SAR request to if it's thought worthy of doing? Can I include both card debts in the one request?


Thanks very much:beer:. All advice welcome

Suseka97

carbootcrazy wrote: »

......
I sent CCAs re: my 2 MBNA CC debts about 18 months ago. One resulted in the requisite paperwork which I've had checked and the debt is, sadly, enforceable:(
They couldn't supply anything at all for the second debt and wrote to say it was unenforceable 'at the moment'.
I would like more information than the credit agreement type of stuff that I got/didn't get with the CCA requests. Is a SAR likely to result in lots more information about the history of my dealings with them which is what I'm after? Is it likely, do you think, that the CC account that didn't produce any paperwork whatsoever might have other data available that they could send me?
Thanks very much:beer:. All advice welcome

Hi CBC.
You obviously have your reasons for wanting to get more information on your dealings with these accounts, but my worry would be that if sending an SAR to the one that's currently UE -there's a risk that delving deeper into whatever they do hold, they might end up finding the paperwork they weren't able to locate before. If it were me I'd let sleeping dogs lie on that one.
My OH wanted to do some PPI checks on his accounts, but 2 of his 3 are UE -so I argued against it and we've dropped that idea. But that's just me.
If you want to do this then I would imagine you'd have to send the SARs to the original creditor/s.

Suseka97

KWLondon wrote: »

Hello, I was part of a DMP, I am no longer in it but I am still settling some accounts directly myself. On my Check My File credit report, one of the accounts is still showing in Default - it was taken over by a debt management firom in August 17 (this is when it first appears on my file), I have been paying £250 a month since October 18 (token payments before this). Do you know when the default will be removed from my credit file? Same with older defaults / settled accounts (where a settlement was reached, rather than full repayment). I have heard that I amy be able to get a mortgage within 3 years of the defaiult first appearing on my file, others say it will take 6 years. If I settle the debt in full will it disappear quicker? Thank you

Defaults remain on your credit file for 6 years from the date the 'D' was registered. So in the case of the August 17 default, it'll remain until July/Aug 2023. Paying it off more quickly won't make any difference I'm afraid. In terms of getting a mortgage - probably best to go with a broker who has experience of helping people in your situation, rather than dealing with lenders direct, they'll be able to help you get the best deal based on your, then, situation.

Suseka97

clausentum wrote: »

Hello - first time poster here. My husband and I are about 55K in debt with CCs and a Loan (for various, complicated reasons, none involving fancy cars, clothes or holidays) and I've just been diagnosed with aggressive breast cancer. We're both self-employed and I will be unable to bring in my usual earnings for about 8 months, possibly more, so we're in a pickle. We've always managed to meet every monthly payment, but that is about to change. I've been on to the National Debtline and they recommend we take out a DMP, but my husband is very leery about losing his good credit score and has a tendency to bury his head in the sand. Does anyone have experience of dealing with debts with cancer in the background? Many thanks for any advice.

Hello and welcome.

Sorry to hear of your recent diagnosis and although I cannot help in relation to that part of your question, I would say that has to be your focus and whatever you choose to do - put yourself first.

I'd follow the advice given by the NDL with regards to a DMP - but maybe delay the start whilst you are undergoing treatment. Possibly write to your creditors explaining your current financial situation, that you are working with a debt charity to resolve it and that you'll be suspending payments until further notice - you could give them a date/month say, 6 - 8 months from now (or longer if you need it). This will give your husband time too - but the fact is if your income is about to be reduced to a point that you will not be able to manage your debts, your choices are somewhat limited and a DMP is a good option for you.

But above all - take your time, don't rush in - save up for an emergency fund if you are going to start a DMP and focus on the most important thing - which is working towards a full recovery

[Deleted User]

Suseka97 wrote: »

Hi CBC.
You obviously have your reasons for wanting to get more information on your dealings with these accounts, but my worry would be that if sending an SAR to the one that's currently UE -there's a risk that delving deeper into whatever they do hold, they might end up finding the paperwork they weren't able to locate before. If it were me I'd let sleeping dogs lie on that one.
My OH wanted to do some PPI checks on his accounts, but 2 of his 3 are UE -so I argued against it and we've dropped that idea. But that's just me.
If you want to do this then I would imagine you'd have to send the SARs to the original creditor/s.

Thanks as always, Suseka:T

I wanted info on a variety of things, unfair charges and possible PPI being 2 of them. The reason I've held off for so long is exactly the same as your reason for dissuading your OH to do it. To let sleeping dogs lie is so tempting but the PPI deadline is too:eek:. I may potentially have a lot of money due, something tells me I definitely had PPI on the UE one. I had a credit limit of £13K on that one, used to the max for about 15 years:o. The CCA paperwork for the other one didn't show anything though.