Advice for a DMP?

Mikej92

Hi guys, wondering if i can get some advice before I bite the bullet.

I’m currently paying off debts, but struggling to keep up with what’s coming into my account and going (in terms of debt payments), I’ve been contacted by a company named stepchange saying they can help
with this issue.

my query is, if I go into a DMP, is it going to kill my chances of getting a mortgage in the next 5 years? I’m hoping to achieve that goal of said mortgage in the next 5-8 years, but curious as to whether this will completely kill any chance of me getting one, I’m pushing 30, so don’t want to be going into a mortgage at the age of 40 if I can help it lol, want to be sooner rather than later.

thanks In advance for any advice.

[Deleted User]

It depends on how long you'll be on the DMP for and the levels of debt. You'll want some clear space between completing the DMP and applying for any serious credit. 
 
Post an SOA on the DFW boards where they'll give you some advice on your wider situation.

Mikej92

Thanks, it’ll probably be around 1 year to 18 months maximum.

MrsYa8

Hi,
I wanted to reply to your post as I currently have an active DMP and just taken on a mortgage.
My husband is self employed, had a large deposit and was earning decent money. He was desperate to buy a house and then we were made homeless from our rental house so had no choice but to buy a house (no rentals in our are.)
I would really suggest you sit down and go through all your finances before committing to a DMP. If you are thinking you need a DMP for 12-18months then I would really encourage you to be savvy with your finances and pay your debts off in those 12-18months. 

By taking on a DMP you will default your accounts. This will sit on your credit file for 6 years. This makes applying for mortgages considerably harder. It's most likely you will need a specialist lender and pay well over the average interest rates. 

If you can do anything to prevent the DMP then do it as I wish I did more to prevent a DMP. 

sourcrates

OP has a duplicate post in DFW, where he has been advised to check the credentials of the company purporting to be stepchange.