Self Managed DMP

Fixmeup

After reading debtcamel I've put in some irresponsible lending complaints to credit cards, overdrafts and loans. Only sent off the complaints late last week but already a positive response for an overdraft which they agree with my complaint so will be refunding interest and charges. This will almost clear that overdraft. Hopefully more positive news on the other complaints will follow and my starting point will be better than expected. 

Fixmeup

Having cancelled all my DD I have now started to miss a few payments. Today I have received a letter from Novuna that my account is now in arrears but there was a second letter titled "Notice of Default Sum Under Credit Agreement". Does this mean the account has been defaulted after just 1 missed payment or is this a step towards being actually defaulted?

fatbelly

I'm not 100% sure.

Did the notice include a sheet from the FCA headed 'Information sheet: Default'?

Fixmeup

fatbelly said:

I'm not 100% sure.

Did the notice include a sheet from the FCA headed 'Information sheet: Default'?

Nothing from the FCA, both letters from Novuna. The first stating they have not received the normal monthly payment and providing details of StepChange. The second as titled "Notice of Default Sum Under Credit Agreement - Given pursuant to Section 86E of the Consuner Credit Act 1974" which states there is a £25 default sum payable.

fatbelly

Then I think that's just notice that you are being charged a penalty.

I don't think you've actually been defaulted yet

Fixmeup

Thanks @fatbelly. I was thinking that would be the case and was just surprised at the wording given I've only missed 1 payment.

peteuk

sourcrates said:

Fixmeup said:

Thanks @fatbelly. The main thing I'm not sure about is if I should be contacting my card providers etc?

And say what though?

If you want defaults, then talking to them will just prolong the exercise.

When we had our DMP one of the high street banks, kept putting on 6month agreements.  This went on for about 4 yrs.  August 2008 I was due to work abroad for a few months and on return was moving house.  The week I left they advised us they wanted to default the account.  I contacted them and advised them of the up coming situation and they agreed to hold the default until after I returned. (I know could have just left them to it)

On return I had to beg them to default it, even though they had agreed a course of action.

In the end PPI caught them out, but that’s another story.  But as Sourcrates says, talking to them just prolongs the exercise.  I usually say talk to them, make them aware of the situation, but if your happy for the letters and calls that may come your way, then quick step to default is not pay, not talk to them.

Fixmeup

Some more positive news today with Novuna upholding my complaint and cancelling all interest on the loan, reducing the outstanding balance by over 3k. The letter says it will remove all negative information applied to my credit file but as I am yet to default on this account I'm assuming it doesnt stop them defaulting me in the future ahead of a DMP?

Fixmeup

I'm starting to get a few more letters following missed payments. Do they have to send letters or can you request communication only by email? Also, when I start my DMP, will I continue getting lots of letters or does everything just go through StepChange?

Rob5342

I think it has to be by post for some things. You'll get less when you are on your DMP but you will still get some as legally they have to send them to you even if you are on a payment plan (arrears notices etc)