Santander and DMP

sourcrates

LilMissM said:

Awww if I could clear these debts in less than 4 years I would be so happy with that. Can you guys help me do a DMP and give me guidance along the way? I've already had a text off one of the loans saying I have missed a payment How many months should I wait before I contact them with my DMP?

Thank you all so much for your help with this x

One thing you have to be aware of is that lenders don`t always hold on to bad debts that long.

They tend to sell them fairly sharpish, not in every case, but quite often.

So the creditors you have now, will most likely not be the ones you enter debt management with in 6 months time.

Best to wait until you are written too, whether it be a new owner or a debt collector, there are many variables in this game, best to wait and see how it plays out.

LilMissM

I can't have debt collectors at my door. That absolutely stresses me out just thinking about that. My 70 year old mum lives with me and I can't have that kind of stress coming to my door I can't believe I have gotten myself into this mess. 

Rob5342

LilMissM said:

I can't have debt collectors at my door. That absolutely stresses me out just thinking about that. My 70 year old mum lives with me and I can't have that kind of stress coming to my door I can't believe I have gotten myself into this mess. 

You are worrying unnecessarily. Have a read about the process. For bailiffs to be sent the creditor would first need to get a ccj against you, that would likely set the payments at the same amount as you were paying with a DMP so there is little incentive for the creditor to get one against you. If they did then a bailiff could only be sent if you didn't make the payments.but they would have to go back to the court to have them sent. It is possible for the creditor to visit you but it's quite rare, if they did they have no more power than next doors cat, but if you are paying them they have no reason to bother doing that. There is a lot of misunderstanding about bailiffs and debt collectors.are.quiye happy to take advantage of that if it means you pay.

Don't worry about it, the first contact from debt collectors.tends to be quite friendly - we are here to.help.ypu.so.please.contaxt.us to arrange a payment plan etc. As long as you start paying them they'll be quite happy and you probably won't hear much more from them.

Don't beat yourself up about it. What's happened has happened, you have a way out and this forum to support you, concentrate on that and you'll soon be feeling on top of it and be advising others on here.

Rob5342

Also think about it from the debt collectors point of view, their business model is to buy debts at a large discount, 10% perhaps,and make a return on them over a number of years. If they buy a debt for £500 and you say you will pay them £5000.for it over 5 years they've got £4500.for nothing. They are likely to be rubbing their hands in glee and just let the money roll in.

sourcrates

Debts are passed to debt collectors, there is no escaping that fact.

However, the vast majority of them work from call centres, they don`t knock on doors.

Only a very few DCA still knock on doors, and then only usually in big cities or towns where many addresses can be visited in a short space of time, its also important to understand they have zero power to do anything, and can just be ignored, you would be very unlikely to get a door step collection company chasing your debt, as mainstream lenders tend to use national companies to write to you, as its much more cost effective.

Try not to make this worse in your mind than it actually is, your worrying so needlessly.

LilMissM

I have had a message from Starling Bank saying they are going to close my account on 09/07/2024. I only opened the account a little over a month ago. What shall I do? Does this mean any new account I open with someone else the same thing is going to happen?

I can't find the message now in the app for some reason, but it said something along the lines of it checks accounts from time to time and something about credit check agencies and unfortunately they are closing my account in 90 days and to make sure there is no money in my account by that time 

Is this a problem I am going to have every time I open an account with someone new? I've had all my direct debits and standing orders changed over to Starling, which was a massive ball ache doing it manually.

When I was in panic mode over the Santander issue I applied for Starling, Monzo and Co-op. They all accepted me and gave me an account but I chose the Starling one (which I actually really like too).

If anyone knows how I find the customer service message in the Starling app please let me know and I'll copy the message to here. I can't see any option in the app though for messages.

sourcrates

Banks can do this at any time and for any reason, what`s your credit file looking like?

Defaults/late payments/missed payments?

Some banks are debtor friendly, others are not, Coop/Monzo are insolvency friendly so they should be fine.

LilMissM

On Experian it is 761. I have only missed payments for last month as I have been advised to let the debts default then basically arrange my own DMP (with the help of the good folks on here), so it has really shocked me to get that message from Starling. 

Should I use the Monzo account and use the Switch feature to get all my direct debits, standing orders, wages etc moved in time for May? My concern is that Monzo do the same as Starling and I find myself with no bank account and no one accepting me. 

sourcrates

Might as well, yes.

LilMissM

Just had a message off Monzo saying starling have refused the switch request.

What is happening here? I'm super concerned right now