DMP length

Emzvic2020

Our current DMP for joint debt with my husband of around 28K based on our current budget paying out £100 a month will take us near on 30 years to pay off. We took out the DMP last year and intended to up it with our budget review this year, however cost of living crisis and our mortgage almost doubling that isn’t possible. It means our DMP will span over 30 years if we keep it at that amount going forward. 

My question is would it be terrible hypothetically to just see it as part of our mortgage for the next 30 years and accept that we will just pay small amounts for the forseabale? Is anyone else’s DMP here that length? i also am set to get a good inheritance from my parents (hopefully not anytime soon, but in the future) so one day I will be able to pay off in full. Not sure if better to slave away paying maximum amounts when we could do it the long way? i know it means the debt will be sat there, but that might give us a better chance with savings for emergencies seeing as our credit is shot? 

Any stories or advice would be appreciated. 

Thanks 

Emzvic2020

Sorry I meant £80 a month not £100 that we pay towards DMP 

fatbelly

Emzvic2020 said:

Our current DMP for joint debt with my husband of around 28K based on our current budget paying out £100 a month will take us near on 30 years to pay off. We took out the DMP last year and intended to up it with our budget review this year, however cost of living crisis and our mortgage almost doubling that isn’t possible. It means our DMP will span over 30 years if we keep it at that amount going forward. 

My question is would it be terrible hypothetically to just see it as part of our mortgage for the next 30 years and accept that we will just pay small amounts for the forseabale? Is anyone else’s DMP here that length? i also am set to get a good inheritance from my parents (hopefully not anytime soon, but in the future) so one day I will be able to pay off by full and final settlement. Not sure if better to slave away paying maximum amounts when we could do it the long way? i know it means the debt will be sat there, but that might give us a better chance with savings for emergencies seeing as our credit is shot? 

Any stories or advice would be appreciated. 

Thanks 

I corrected your post. Your creditors will do a deal rather than wait 30 years, should you come into a lump sum.

Your other option would be an IVA but if you do get a lump sum it would not be yours to do what you want with. I would not recommend an IVA given what you have said

The debt-free wannabe board is the place for this

gwynlas

Yes, if it takes 30 years it takes 30 years so consider it as being like a mortgage. However chances are that your financial position will change. Then you can either save money up so when settlements offerred you can pay debt off or increase your payments when you can afford in order to shorten length of DMP. Who knows what the equivalent to £100 per month now will be in 30 years time

sourcrates

I`ve asked the forum team to move your thread to the DFW board instead.

RAS

Do you have an emergency fund? Have your debts defaulted yet?

Rob5342

Have you looked at making CCA requests and affordability complaints? I have £15,000 of debt that is unenforcable as they didn't supply the CCA so I'm just ignoring that, plus a £15,000 interest refund from an affordability complaint. I think I was incredibly lucky with the affordability complaint and it took two years of persistence, but any sort of success with either of those will be beneficial.

You won't need to pay it off in full, the creditors will accept a reduced settlement offer at some point.

sparks_2023

If you let your accounts default then there will be no interest.

With the current rate of inflation then the "reduction" in real terms of the debt amount over time will be a nice bonus without even taking payments into account.

flipflopflo

Who is your DMP with?

ES19901990

Emzvic2020 said:

Our current DMP for joint debt with my husband of around 28K based on our current budget paying out £100 a month will take us near on 30 years to pay off. We took out the DMP last year and intended to up it with our budget review this year, however cost of living crisis and our mortgage almost doubling that isn’t possible. It means our DMP will span over 30 years if we keep it at that amount going forward. 

My question is would it be terrible hypothetically to just see it as part of our mortgage for the next 30 years and accept that we will just pay small amounts for the forseabale? Is anyone else’s DMP here that length? i also am set to get a good inheritance from my parents (hopefully not anytime soon, but in the future) so one day I will be able to pay off in full. Not sure if better to slave away paying maximum amounts when we could do it the long way? i know it means the debt will be sat there, but that might give us a better chance with savings for emergencies seeing as our credit is shot? 

Any stories or advice would be appreciated. 

Thanks 

Hi Guys, this will most likely be a similar amount of time to me. Just wondered how you guys are getting on with it?

Have all creditors been okay for you?

Grumpelstiltskin

ES19901990 said:

Emzvic2020 said:

Our current DMP for joint debt with my husband of around 28K based on our current budget paying out £100 a month will take us near on 30 years to pay off. We took out the DMP last year and intended to up it with our budget review this year, however cost of living crisis and our mortgage almost doubling that isn’t possible. It means our DMP will span over 30 years if we keep it at that amount going forward. 

My question is would it be terrible hypothetically to just see it as part of our mortgage for the next 30 years and accept that we will just pay small amounts for the forseabale? Is anyone else’s DMP here that length? i also am set to get a good inheritance from my parents (hopefully not anytime soon, but in the future) so one day I will be able to pay off in full. Not sure if better to slave away paying maximum amounts when we could do it the long way? i know it means the debt will be sat there, but that might give us a better chance with savings for emergencies seeing as our credit is shot? 

Any stories or advice would be appreciated. 

Thanks 

Hi Guys, this will most likely be a similar amount of time to me. Just wondered how you guys are getting on with it?

Have all creditors been okay for you?

The OP hasn't been online since November 2023 so I doubt you are going an answer.