DMP and Northern Rock Demands

giddykipper

Hi all

I'm currently in a dmp with payplan (since Jan this year) I had a letter from Northern Rock stating that they want an update of my current financial situation and that I had to ring within 7 days.

I have just telephoned them now and they have said that they need me to increase my payments, otherwise my account will be handed back to collections and they will demand the whole amount.

I'm not really in a position to up my payments just now as since I started the dmp both my mortgage and my gas bills have increased dramatically so am actually worse off than when I started. Plus I increased my payment to payplan by £5 already this year (OK not much, especially as its split between all my creditors, but at least I was showing willing and did it voluntarily - before the increases in bills)!

Some years at work we get a pay rise (inflation), some years we dont so I will have no idea until January whether this will be happening or not.

Are Northern Rock just trying it on to squeeze me? I'm worrying now, I can't get hold of anyone at payplan just now and I foresee a sleepless night on the cards!

Cheers
Jo x

Broken_hearted

Yes they always try to get more.

giddykipper

But what if you haven't got more? What then?


Anyone know what happens then? I'm already paying them as much as I can. Can they demand more?

giddykipper

Anyone?

Could really do with some advice!

Thanks

craftingqueen_2

We are in the same position they o.ked the Dmp for 6 months now that has finished they want the full amount.We even increased our payments to payplan by £25 to all our creditors ,they still aren't happy.Hubby even rang them up,still no joy,just going to have to wait and see. Good luck with NR.

CQ

mummum2

Received a letter from them yesterday saying that they'll accept mine for 6 months also, as I've no faith in them am afraid after that period will be hounding again, they have been for me the worst out of all my creditors. Good luck with them and keep us informed with the outcome.

giddykipper

Hi all, well I've spoken to Payplan today (via email) and they have said that I shouldn't worry and that it is quite normal for this to happen.

They said that they will re-negotiate again on my behalf and if its accepted, then it will remain for another 6 months, if not then it will probably be passed on to a debt collection agency who will more than likely accept the payments anyhow.

So its just a case of waiting to see now I spose! I mean I could probably up the payment to them by maybe £5 or £10 but then will all the other creditors expect the same?!

And if I do that now, am I just making more trouble for myself in the future!?!

Nightmare!

mummum2

That's what I'm expecting my DMP company to do when my 6 months is up. We are trying to pay off our debt, that's something that really frustrates me with these creditors, why can't they give us some slack. Keep us posted, as I would be interested to hear if they accept for another 6/12 months, here's hoping. Good luck

giddykipper

Well Northern Rock rang me last night and said that they haven't accepted my offer (although the offer was that I couldnt afford to up my payments) so they will now begin proceedings against me. I asked if they could put everything in writing and not telephone me - yes they can put it in writing but refused to stop calling. They said that my account was 'in between' departments and until the litigation had begun then they couldnt stop them! Great!!

Today I have received a letter from them (dated 8th Nov) telling me that my latest payment (due on 1st Nov) hadnt been received by them. Thing is, its never received by them until the 7th of the month because of the date I get paid, the s/o goes out to payplan etc. They had never questioned this but clearly now they are not playing nicely anymore! I have checked with payplan (online) and they were paid on 7th of month as usual so they are clearly making a point now.

I'm really stressed again, I thought, well I dont really know what I thought, I suppose I thought that I'd get a yearly review (which would be in a January - because thats when I started the dmp - when I would at that point know if I'd got a pay rise for the year) and then I could up my payments slightly each year and as long as they were getting paid, everyone would be happy! It seems I was very wrong.

Does anyone know if all my creditors are likely to do this? NR are the only people who have actually written to me direct, the rest all corresponded via payplan so I dont know if they're likely to turn sour soon too.

I feel so upset all over again now. I'm trying my best to pay back what I owe, I haven't gone down the IVA route because I WANT to pay everything back, it helps me sleep better at night ..... so why cant they just accept that thats what I can afford and let me carry on - they'll get their money eventually! I know its their money and they want it back - but can't they see I'm trying?

I dont really know what happens now, or exactly what proceedings they are actioning - I think at one point the word 'litigation' came up which is scaring the pants off me - is that what they're trying to do? I've emailed Payplan but as its a weekend I'm not expecting any answers anytime soon so wondered if anyone else knows??

Thanks
Jo

Leixlip1

I've had no dealings with Northern Rock but had similar problems with the Co-Op bank and MBNA. I'm doing a self-managed DMP and wrote to both pointing out who I had agreements with; that everyone was getting pro-rata payments i.e. no preferential creditor etc and that I was confident that if they did take me to court any order granted would be in-line with payments offered (and being regularly paid) - the result was that both Co-Op and MBNA accepted my payments and dropped any threat of legal action.
By reputation Northern Rock play "hard ball" (especially in IVA cases) and they are trying to intimidate you into paying what you cannot afford - if your case does to court remember that the courts are there to protect you if you (and Paypalan) are being honest and doing what you can to address the situation.
Good luck.

giddykipper

Thanks - I was hoping it might just be scare tactics to try and get me to pay more!

!!!!!!!