Imminent DMP

missyp123

Imminent DMP
Hello,
After lots of calls and posts with great feedback and advice we have decided that we definatley need to apply for a DMP.

Does anyone know how long the process takes? We are still currently paying all our creditiors but end up borrowing at the end of each month to survive. So will they tell us to not pay creditors from certain date or do we have to wait untill agreements of lower payments have been accepted? And is there an agreed time scale for the debts to be paid or is it indefinate untill debts are paid?

Also we have applied for a basic Natwest account, but is it not allowed to have a current account at all? We are currently with HSBC and they have said because we are fully into our £2k overdraft we will have to leave that account (understandable). But could'nt we open a current account with my husbands bank and use that? This could be done after the bank hoilday.

One last thing.... in most cases we assumed that the interest would frozen for all debts but have read on some posts that interest is still being added and even in cases where it has been stopped it starts up agian after a period of years?

Thankyou for reading through, hope someone can give us some advise on the above. Will be calling them back on Tuesday, fingers crossed (again)!

*i have alsp put this post in the mutual support thread for Dmp not sure which would be best.

10past6

Hello missy

It takes around 4 weeks for your DMP to be set up, if you have already been given your DMP reference number, include it within the following letter, and send it of to your creditors / DCA's.

Also include a £1.00 postal order for each creditor / DCA, this is known as token payments.

Your Address

Creditor / DCA address

Date

Dear Sir/Madam

Re Account No/Reference No:− XXXXXX

Since making that above agreement with you, our circumstances have changed.

We cannot now afford to agreed monthly payments because ... [your paragraph added here]

We enclose a Personal Budget sheet which shows our total income from all sources, and our outgoings.

As you can see we have only £ XXXXX per month left for our creditors.

In view of our circumstances, please would you agree to accept a reduced offer of £XXXX per month.

If interest or other charges are being added to the account we would be grateful if you would freeze these so that all payments made will reduce what I owe you.

Should our circumstances improve we will contact you again.

We would be grateful if you would send a paying−in book to make it easier to pay you. Thank you for your assistance. We look forward to hearing from you as soon as possible.

Yours faithfully