Need your opinions please :0)

JPS29

Hi Scared1980,

Are you planning on going Bankrupt? Just that I see this is posted on the DFW board. The only reason I ask is that from my understanding preferential creditor payments only applies in bankruptices or if you are on a DMP. If you are just trying to clear your debts then this does seem like a good offer. Just make sure that you get in writing that this is "IN FULL AND FINAL SETTLEMENT" and that your credit file is marked accordingly. Last thing you want is pondlife DCA's chasing you for the remainder in 4 years:rolleyes:

HTH

( can one of the regulars please clarify this re the preferential pls?)

Sagaris

I know my OH is on a DMP with CCCS that I arranged on his behalf - and they told me that if we ever had any extra money that we wanted to use to pay the debt off quicker, it had to be used to pay all the debtors their proportionate amount, as otherwise it would be seen as treating one of the companies more favourably over the others, and the others could then call an end to the DMP and get awkward about things.
Not that we've ever had any extra money to find out what happens though!

JPS29

Hi,

Sorry if I misunderstood but I thought this was only an issue if the DMP was with a company, not a personally managed one like the OP states they have

Scared1980

Basically... we were with a company a couple of years ago... one we paid... and they messed everything up and ended up with charge on the house etc. so I told them were to go and did all the calculations myself.

I send them a Income and Expenditure every year and update monthy payments accordingly...

so yes I suppose its a DMP, but its not done by a company like CCCS or Payplan.

Maybe we should just save the money and keep adding to it until we can arrange enough to settle them all... I was just getting very excited about paying one off...

none of the creditors complained when Natwest got a charging order... so they don't seem to care who gets paid first

Really don't know what to do for the best!!!

L
x

chez000

InTheBrownStuff wrote: »

Hi Scared1980,

Are you planning on going Bankrupt? Just that I see this is posted on the DFW board. The only reason I ask is that from my understanding preferential creditor payments only applies in bankruptices or if you are on a DMP. If you are just trying to clear your debts then this does seem like a good offer. Just make sure that you get in writing that this is "IN FULL AND FINAL SETTLEMENT" and that your credit file is marked accordingly. Last thing you want is pondlife DCA's chasing you for the remainder in 4 years:rolleyes:

HTH

( can one of the regulars please clarify this re the preferential pls?)

Ithink that for a full and final if its your debt that you need a deed like a contract (not simply a letter) that states that the account is settled,

milliejon

I've been managing my own DMP for about 2.5 years but run it as if it's run by CCCS or PayPlan. It is tempting to try to reduce the debt quickly, but just think how difficult the phone call might be when the other creditors realise that one of the others has dropped off the list. I'm not trying to be difficult, just wondering what I'd do in your place.

I've just found this template letter which you could change slightly if you decided to go with the final settlement: http://www.nationaldebtline.co.uk/england_wales/temp/7746_97201.pdf.

tara66_2

Hi Scared,

I am not an expert as have only just started my DMP with CCCS, but I would go for it provided it was in writing from the company stating that it is in full and final settlement and stating how they would mark your credit file. I am certainly hoping in the future to reach settlements on some of my smaller debts.

I would suggest that you post on the DMP Supporters thread as I am sure there will be people on there who have experience of settlements. Sorry to confuse matters by being at odds with the advice of others.

Tara x