Starting DMP

Beck50

I've been contacted by Cabot saying that the account they purchased off MBNA Credit Card is being passed to Mortimer Clarke Solicitors and that I should contact them within the next 7 days the letter was dated 18th October but have only received today.
Conveniently 7 days are up, and I've also had a missed call today which again is from them. Has anyone had dealings with these as mot sure what is going to happen next.
I have sent Cabot emails but they never respond, so is this becoming serious?

fatbelly

Beck50 said:

I've been contacted by Cabot saying that the account they purchased off MBNA Credit Card is being passed to Mortimer Clarke Solicitors and that I should contact them within the next 7 days the letter was dated 18th October but have only received today.
Conveniently 7 days are up, and I've also had a missed call today which again is from them. Has anyone had dealings with these as mot sure what is going to happen next.
I have sent Cabot emails but they never respond, so is this becoming serious?

The letter that you do need to react to, if it comes, is the 30-day pre-action letter.

Are you ready to make payment to this one? I imagine that that would keep them quiet

Beck50

Stepchange have changed their findings from a DMP to an IVA and are waiting for me to send proof of income and bank statement but have had a couple of expensive car repairs to sort so haven't been able to start one.

fatbelly

Beck50 said:

Stepchange have changed their findings from a DMP to an IVA and are waiting for me to send proof of income and bank statement but have had a couple of expensive car repairs to sort so haven't been able to start one.

But are you doing an IVA? Or are you setting up your own DMP?

You must do what is best for you, not what is best for Stepchange

Beck50

DMP I thought was the way and an IVA sounds OK but still not sure, if I attempt to do a DMP myself can they all force me to pay more than I can afford.
Assuming I do an affordability check sheet?

fatbelly

Beck50 said:

DMP I thought was the way and an IVA sounds OK but still not sure, if I attempt to do a DMP myself can they all force me to pay more than I can afford.
Assuming I do an affordability check sheet?

No they can't force you to do anything. An IVA is bankruptcy for someone with an asset (usually a house) to protect, large debts and good surplus income.

If that isn' t you, why are you doing an IVA?

Beck50

Yes I am a house owner and haven't missed any payments on my mortgage or any other utility type bill.
Is this why they've suggested an IVA instead of a DMP. My comments on making me pay more was if I attempted myself to do a DMP rather than use Stepchange. Would my creditors reject my offers and insist on more.

fatbelly

You tell the creditors what you can afford, and start paying. It doesn't matter what the creditors think.

If your debt management plan is going to take a long time, maybe 10 years or more, then I can see why they suggested an IVA

Beck50

Yes you're right, my debts are just over 30k and the payments they were suggesting would have taken me over 10 years to pay.
So an IVA it is as soon as I can get started.

RAS

Beck50 said:

Yes you're right, my debts are just over 30k and the payments they were suggesting would have taken me over 10 years to pay.
So an IVA it is as soon as I can get started.

You do understand that you will be expected to re-mortgage in year 5 to release capital to pay the creditors? If you can't do that, there will be a year's extra payment, occasionally two years.

And if your income goes up, you could end up paying more than you owe?