Gemmzie's DMP Diary (Year Two)

Gemmzie

Update........28/10/2008

So here's year two part two, we've upped the DMP another £36, not a huge amount but it all helps. I'll update the budget tomorrow.


Income (this is just what goes into the Joint Account)
Wages - £1,700 (approx)
Partner's Wages - £320
DS1 Keep - £200
DD1 Keep - £150
Total £2,370

Outgoings
Mortgage £778.82
Endowment £80.40
Secured Loan £301.28
Mortgage Insurance £46.07
Council Tax £104.17 (paid over 10 months, this is the 12 month figure)
Water Rates £49.66 (as above)
British Gas £15.88
Building & Contents Insurance £21.12
Life Insurance £9.50
Gas £59
Electric £102
Housekeeping £400
TV License £12.01
Clothing £10
BT (Telephone) £14.49
Health Costs £10
Sky (TV & Broadband & phone calls) £60
Total £2,064.40


DMP
Loan [strike]£77.69[/strike] [strike]£94[/strike] £122
Egg [strike]£5.99[/strike] [strike]£7.50 [/strike] £10.50
HSBC £50 (accepted indefinitely)
Mint [strike]£33[/strike] [strike]£40[/strike] £43
Halifax One (with DCA) [strike]£10[/strike] £13
Capital One [strike]£14[/strike] £20
Total = [strike]£190.68[/strike] [strike]£221.50[/strike] £258.50



Next re-jig...April 2009

aimme13

hi, can only tell you from my experience, im on a dmp that will prob last about 20 years+:eek: i kept the same amount for the first 2 years as i really couldnt afford any more. However the third year i was about to leave it again when i did a few sums and realised by putting it up by £5 a month it knocked a few years off my dmp. So worth playing around with. And of course i really didnt notice that extra £5 a month gone. Good luck with everything.

southernscouser

Gemmzie wrote: »

As most of you know I run my dad's DMP

Do you charge a fee for this? :think:

If so tell him he can get free services and advice from the CCCS.


Sorry hun, I haven't got a clue.

candyblue

I have just started my second year and to be honest when I had my review they didnt question anything that I had put up and I ended up paying £30 more a month, which is what I wanted to do anyway

CCCS_Emily

Hi Gemmzie,

The payments creditors get are based on what your dad can afford after all his living costs in his budget, whether its year 2 or 22 of a DMP. The key to successfully clearing debts, whether through a DMP or any other way, is a sustainable budget. If your dad can afford to pay them a bit more then great, it will clear the debt quicker, but if he can’t then that’s ok too, at least they are getting something and the situation is under control.

I would suggest you do let the DMC know about the two debts that have been moved. The DMC may know anyway, if they get regular balances from the creditors, but if not the money may still be going to the creditors even though the debt is no longer there when it could be used to clear the other debts quicker.

Hope that’s of use.

Regards

CCCS

Gemmzie

southernscouser wrote: »

Do you charge a fee for this? :think:

If so tell him he can get free services and advice from the CCCS.


Sorry hun, I haven't got a clue.

Lol, nope all done for free

Gemmzie

CCCS_Emily wrote: »

Hi Gemmzie,

The payments creditors get are based on what your dad can afford after all his living costs in his budget, whether its year 2 or 22 of a DMP. The key to successfully clearing debts, whether through a DMP or any other way, is a sustainable budget. If your dad can afford to pay them a bit more then great, it will clear the debt quicker, but if he can’t then that’s ok too, at least they are getting something and the situation is under control.

I would suggest you do let the DMC know about the two debts that have been moved. The DMC may know anyway, if they get regular balances from the creditors, but if not the money may still be going to the creditors even though the debt is no longer there when it could be used to clear the other debts quicker.

Hope that’s of use.

Regards

CCCS

The DMC is the Debt Management Company? There isn't one, I've managed it all myself.
The two debts that were cleared were overdrafts at 24.9%, the other debts are all interest frozen and I really want to keep it that way without rocking the boat. So I'm not sure what to tell them?

Thanks Emily

Gemmzie

Shameless bump

Sea78

Hi I don't knopw - still in first year

However, I have had regular updates and reviews with the CCCS - even when I was only able to increase the totals by, say, £10 - so if you work out the income spare - is the overdraft money spare now or are the payments now going to your mum for her to pay off that overdraft? If so, it wouldn't be worth mentioning. However, if a creditor were to take your Dad to court in the future, they would want to see all the documents - how much was he paying to the ioverdrafts? How much is being saved now? If it works out on the snowball calculator that it would make a difference, you could always just up the payments across the board accordingly (wouldn't need to necessarily tell them about this especially if it works out at only a few pounds per creditor).

Hope this makes sense - it does in my head, but not sure written down!!

Sea xx

Gemmzie

Sea78 wrote: »

Hi I don't knopw - still in first year

However, I have had regular updates and reviews with the CCCS - even when I was only able to increase the totals by, say, £10 - so if you work out the income spare - is the overdraft money spare now or are the payments now going to your mum for her to pay off that overdraft?

It was never really there in the first place, no wonder we were struggling to make ends meet! See the newly added SOA.
I've paid off £1k using alternative methods, the other £1k has gone to mum's credit card and she's paying that out of her wages, otherwise her contribution would be higher.

Sea78 wrote: »

If so, it wouldn't be worth mentioning. However, if a creditor were to take your Dad to court in the future, they would want to see all the documents - how much was he paying to the ioverdrafts? How much is being saved now? If it works out on the snowball calculator that it would make a difference, you could always just up the payments across the board accordingly (wouldn't need to necessarily tell them about this especially if it works out at only a few pounds per creditor).

He's not paying anything to the overdraft in any form. I'm not sure what it would look like to be honest, they've been cleared in big chunks from deposits to an account in mine and mum's name, so I'm guessing that they wouldn't have a right to look at that?

Sea78 wrote: »

Hope this makes sense - it does in my head, but not sure written down!!
Sea xx

Yes it does, thanks

orpheus

Hi Gemmzie

As I entered year 2 with my DMP, I had to send in a new Income and Expenditure sheet. Most of the creditors were ok with this but there were a few rumblings form the largers creditors, aka Egg, Natwest and MBNA. However, after some wrangling (thanks Payplan), two of them settled for the same payments for a further year. Egg however took me to court and put a charge on my property - apparently, they are notorious for this.

As I have just entered my 3rd year, several of the creditors started making noises about wanting to see increased payments. These were actually the institutions who had held onto the original debt. (Those debts passed to CCA's have been less troublesome, surprisingly!) After some hefty negotiation, all but two (HBOS & Natwest) have settled down again. Still trying to get resolution with these two. :mad:

Overall, things have been going well, but because of the interest rises and my mortgage rising rapidly, all my efforts to squeeze my finances and increase my debt payments have been swallowed by the higher interest payments. :eek: However, thanks to the news today about the interest rate cut, with hopefully more to come, things may be looking up.....