DMP, maxing credit and full and final offer

RAS

I've just re-read your threads and can't find any reference to a debt to Amex? 

Are you sure that they have not yet issued a default? Check all three credit records, please.

Amex are known to be more aggressive than UK based creditors. 

Even so, Barcher can't issue a Letter before Action until a default is issued. With Amex we'd recommend that you catch it quickly after the default is issued and set up a slightly enhanced payment and let them know it's all you can afford. That may stall them. 

Given the length of DMP you are looking at, I'd really suggest that you go back to that SOA you did previously, and rework it with exact figures rather than rounded ones and re-post. It needs to be sustainable, so don't assume life on beans on toast and make sure there's enough fat on some of the areas where expectations are higher, so you can divert say £50 per month into a house repair fund for which there's no allowance in a standard SOA. You need to maintain the roof over your head.

Other posters can advise if it looks reasonable. If Amex realise that a CCJ is not going to result in an higher payment they may hold off.

EDIT: Edit, if they do go for CCJ, you defend and will have to submit an SOA. Amex will then get just the standard portion of your excess income.

ManyWays

Are you sure you have not received a Default Notice, this would have been a letter? 

You MUST reply to the Letter Before Claim. In the reply form there is a section where you can ask for documentation, ask for the Consumer Credit Act Agreement and also for a copy of the Default Notice.

How much do you owe Amex? If you can make an affordability complaint to Amex, this would be a good point to do this and to also note in the reply form to the Letter before Claim that you dispute the debt and have sent a letter to Amex about this.

ES19901990

Hi all

the debt to Amex is now £9400. I have checked credit karma and Experian and both say it has not defaulted yet and I have not had a letter. 

How is best for me to proceed? Should I offer a lump sum of £1000 to them and then a monthly payment as really do not want a CCJ!

RAS

Credit Karma is not a CRA. Check Equifax and Transunion.

Meantime, respond to the email and advise Barcher you do not have a default letter. 

What's the deadline on the Letter before Action?

ManyWays

You must reply to the Letter Before Action using the attached Reply Form within the 30 day deadline, do not phone them up or write/email separately. Ask them to supply the Default Notice, this should prompt them to send one if they haven't already. 

Make a monthly offer, but I wouldnt offer a £1000 lump sum, that just suggests you have money lying around you havent told them about. Have you looked at an affordability complaint because they wont go to court while a complaint is underway. 

ES19901990

I haven’t received the letter yet but I have received the below email from barchers in response to asking has the account defaulted. How should I proceed as it still hasn’t?

Looking at your account at the moment it looks like it is quite close to a default. Interest and late payment markers have been accruing across the past few months.

 

If we look to get an instalment plan set up immediately, the default can be potentially avoided. Amex offer several programmes that prevent interest and further late payment markers accruing, but this depends on your eligibility for the programme.

Grumpelstiltskin

You want it to default so ignore them at the moment.

ManyWays

A default is good as it means interest is stopped and the debt is more likely to be sold. You do not want to stop this, you want the default and then to offer a payment arrangement.

RAS

Wait for the default to be issued and then arrange a payment, by Standing Order.

ES19901990

Have today received the formal letter of claim but still not defaulted the account, how should I proceed with this?