Start of self managed DMP

DisabledDan

2021rdsunshine said:

Just after a bit more advice on my next steps please : after stopping paying creditors last November, credit cards have been passed to debt collectors like Moorcroft and Wescot and I ignored them. Bamboo loan went silent after the initial constant phone calls and letters which I ignored as well but they didn’t passed the debt to any collection company.  Vanquis, marbles ,Debenhams and Bamboo sent default letters recently and finally this month they appear on credit file as defaulted. Should I now get in contact with the debt collectors and Bamboo to set a payment or should I wait for them to contact me again? 

I was advised to wait until all of creditors defaulted, they all took their sweet time and passed me from debt collector to debt collector, each had 3 to 6 months I think.  Westcot and Moorcroft were definitely players, there were so many I forget all their names.  A couple ended up at Lowell after Robinson Way and Hoist No.48567 offshore etc.  

I did not go BMP, maybe I should have but at the time everything was futile, I had already been paying a lot of interest and high interest rates, then fixed amounts and nominal amounts.  The idea of a BMP just felt like extending the debt and when I found out that creditors might still take further action to recover the debt I just wanted it over. 6 years and the potential for a further 6 years was fine, I would have done a DRO but the limit was too low at the time.

The reality for me is that there was nothing they could do to me as I had nothing to lose, literally nothing.  This is not for anyone who wants to repair their credit later or buy a house or car at some point.  

2021rdsunshine

DisabledDan said:

2021rdsunshine said:

Just after a bit more advice on my next steps please : after stopping paying creditors last November, credit cards have been passed to debt collectors like Moorcroft and Wescot and I ignored them. Bamboo loan went silent after the initial constant phone calls and letters which I ignored as well but they didn’t passed the debt to any collection company.  Vanquis, marbles ,Debenhams and Bamboo sent default letters recently and finally this month they appear on credit file as defaulted. Should I now get in contact with the debt collectors and Bamboo to set a payment or should I wait for them to contact me again? 

I was advised to wait until all of creditors defaulted, they all took their sweet time and passed me from debt collector to debt collector, each had 3 to 6 months I think.  Westcot and Moorcroft were definitely players, there were so many I forget all their names.  A couple ended up at Lowell after Robinson Way and Hoist No.48567 offshore etc.  

I did not go BMP, maybe I should have but at the time everything was futile, I had already been paying a lot of interest and high interest rates, then fixed amounts and nominal amounts.  The idea of a BMP just felt like extending the debt and when I found out that creditors might still take further action to recover the debt I just wanted it over. 6 years and the potential for a further 6 years was fine, I would have done a DRO but the limit was too low at the time.

The reality for me is that there was nothing they could do to me as I had nothing to lose, literally nothing.  This is not for anyone who wants to repair their credit later or buy a house or car at some point.  

We have 5 creditors and 4 of them defaulted this month, all at the same time after 8 months of non payment. I don’t think I necessarily need to wait for the 5 of them to default to start a DMP but I will definitely wait for the ones who defaulted to contact me again as per sourcrates advise. My idea of the DMP is to get some offers further down the line and pay the debts at a much reduced rate. A DRO is not an option for me at the moment and if everything goes to plan I think the DMP is the way to go and although my credit file is now shattered I’m not too concerned with it. 

Teaandbiscuits21

Any update with this OP?

2021rdsunshine

Teaandbiscuits21 said:

Any update with this OP?

Hi! That’s me. 

DMP is going well, started 17 months ago. All creditors defaulted after about 8 months and  debts sold straightaway. I’m now paying a small amount to each of the new owners. Already had a full and final offer from one of them that I decided not to accept at the time. I’m sure more offers will come through in time. Only regret is that I haven’t started this process earlier. Life is much more manageable now!