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Help/Advice

I currently have a DMP with PayPlan for unsecured debt of approx £55k
Ihave an income of circa £50k and am a house owner with mortgage repayment of £1300 a month     My DMP has been set up for repayment of £1317 per month.  This has started 3 months ago.   
My issue is this amount is leaving me absolutely no wriggle room and I want to reduce this amount just so I’m not fretting every month.  Is this allowed and is this advisable 

Comments

  • Grumpelstiltskin
    Grumpelstiltskin Posts: 5,609 Forumite
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    edited 26 September 2022 at 9:14AM
    Looks like you didn't fully take into account all of your expenses when you set the DMP up.

    Of course you can reduce your payments but I would suggest you put up a honest SOA on here so the friendly people on here can advise you exactly what to do.

    Add Link to SOA  SOA Calculator (lemonfool.co.uk)

    Format it for MSE
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  • fatbelly
    fatbelly Posts: 23,128 Forumite
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    Absolutely yes.

    Talk to Payplan - if necessary go do-it-yourself, but they should be flexible with you.

    A dmp over 60 months is pretty typical. 

    Your mortgage payment is only going one way, same as fuel and food.
  • kazwookie
    kazwookie Posts: 14,315 Forumite
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    What are you spending on each month.
    Clearly on of £50K salary, Mortgage £15,600 per year, something some where is missing

    SOA as suggested.  Then folk will be able to make suggestions to help you, there are some very knowledgable folk around here, but they need more information.
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  • RAS
    RAS Posts: 35,913 Forumite
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    Did you set up an emergency fund before you started the DMP?

    H|ave your creditors defaulted the debts?
    If you've have not made a mistake, you've made nothing
  • Rob5342
    Rob5342 Posts: 2,483 Forumite
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    Debt management plans are informal, there are no rules, you just pay whatever you have left after paying everything else.

    How did you arrive at £1317 for your dmp payment? £50k per year is just over £3000 per month I think, so with a £1300 mortgage payment and a £1300 dmp payment you are only left with £400. Nobody could live on that, do you have a partner with income too?


  • Thanks guys. I will post my SOA asap. I have a partner who pays 600 towards the mortgage   The DMP payment although it’s my debt takes into account her wage of approx £2k per month 
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