DMP nerves (admiral) - please help

Thewannabedebtfree

Hello, I am going to soon take a DMP out this month (put it off for too long) it’s around £28k I owe now and I use credit most days to get by! Looking to cancel the DDs this month and wait for defaults before DMP. Looks like the DMP will be for 12 years but hopefully settle this earlier 

I’m concerned as I have two large  loans with Admiral, has anyone been in a DMP with these as I’m hearing mixed messages. 

Also on the small print ‘Missing payments could have serious consequences. If you fail to make any repayment by its due date then, in addition to any other rights we may have, we may terminate the agreement and require you to pay all sums payable under the agreement early. Adverse information will be passed to credit reference agencies,

Consequences of which could impact your credit rating and could also make access to credit more difficult and the cost of credit more expensive for you in the future. We may also bring legal proceedings against you to recover the amounts we are owed, including for example bankruptcy proceedings. If we obtain a judgment against you, we may seek to enforce that judgment for example by obtaining a charging order against your home. If a charging order is obtained we may also seek an order for the sale of your home.’

Appreciate it may be scare tactics but is it likely they will reposes / charge order for my home (owner) just a bit concerned. 

Thank you so much , I am looking forward to getting started and start understanding money!

fatbelly

They are hardly likely to say

 'We will in practice do none of these things. We will just sell your account to Lowell for 10% of its value' 

Are they?

sourcrates

The agreement with your lender allows a range of options to deal with unpaid debt, and they make certain the possible consequences of non payment are there for all to see.

However the reality is quite a lot different, there are about three stages to a creditors collection policy, internal collections, external collection agency, and sale of the debt, you will meander between all three most likely.

Legal action is most likely from a debt purchasing company, such as fatbelly mentions, but only if you ignore them for a long period of time, and fail to set up payments with them, if they obtained a CCJ, and you again failed to maintain payments, then they could apply for a CO, but it would just sit on file until the debt was repaid or the house was sold.

Orders for sale are so rare that official figures are no longer kept, you are more likely to go into space that receive an order for sale.

In by far the vast majority of cases debt management runs very smoothly with no issues whatsoever.

ManyWays

With two large loans, look at an affordability complaint, that should get interest removed if you win it. 

Thewannabedebtfree

sourcrates said:

The agreement with your lender allows a range of options to deal with unpaid debt, and they make certain the possible consequences of non payment are there for all to see.

However the reality is quite a lot different, there are about three stages to a creditors collection policy, internal collections, external collection agency, and sale of the debt, you will meander between all three most likely.

Legal action is most likely from a debt purchasing company, such as fatbelly mentions, but only if you ignore them for a long period of time, and fail to set up payments with them, if they obtained a CCJ, and you again failed to maintain payments, then they could apply for a CO, but it would just sit on file until the debt was repaid or the house was sold.

Orders for sale are so rare that official figures are no longer kept, you are more likely to go into space that receive an order for sale.

In by far the vast majority of cases debt management runs very smoothly with no issues whatsoever.

Thank you, you have put our minds at ease! 

Thewannabedebtfree

ManyWays said:

With two large loans, look at an affordability complaint, that should get interest removed if you win it. 

I will do this, thanks for suggesting! Seems admiral like to dish out unaffordable loans worn high APR