We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Am i doing the right thing?

13

Comments

  • DEBT_23
    DEBT_23 Posts: 292 Forumite
    i understand what you are saying it isnt so much that i want to go on a iva i just want to start making payments and clearing my debt, if i cud go on a DMP i would but i dont get how i could be debt free within the next 8 years.
    i do contract hours at work which bumps my wage up around 400 a month, i see what your saying with cutting back. i dnt want to lose my home i have no family and i have had this house since i bought it at 18. i have no intentions of leaving my home either
    Bankrupt on 26/03/2009 10:30am No-219 of 2009
    Fresh start ahead. 26/03/10 will soon be here :rolleyes:
    Thanks soo much MSE Br forum :T
  • Deep_In_Debt
    Deep_In_Debt Posts: 8,579 Forumite
    Part of the Furniture 1,000 Posts Photogenic Mortgage-free Glee!
    Can you cut down on going out? That's extra money to chuck at your debts. You've not allowed anything for utilities - water, gas, leccy, etc... or have I missed something?
    Debt 30k in 2008.:eek::o Cleared all my debt in 2013 and loving being debt free :)
    Mortgage free since 2014 :)
  • Deep_In_Debt
    Deep_In_Debt Posts: 8,579 Forumite
    Part of the Furniture 1,000 Posts Photogenic Mortgage-free Glee!
    I don't want to lose my home either and I have no intention. My mortgage repayments are £220 per month and very manageable. Rental properties in my area just for a studio apartment (I only have a 1 bed house) are £600 pm so it's a no brainer that I stay in my house and pay off my mortgage as it's cheaper for me to do so and clear my debts. I can't afford to pay for a rental property on my own. Weird as it sounds for most on here...that's how it is! I live on my own and have no family.

    You could be debt free sooner. I'm 27k in debt and on a DMP and already I've seen my debts reducing on my DMP. Most of my creditors have frozen interest and paying back what I owe. With the help of people here, you can reduce your debts without noticing a change in your lifestyle.

    I do my weekly shop in Lidl now - used to only shop in Sainsburys or Tesco and I'm saving £11.per week.
    Debt 30k in 2008.:eek::o Cleared all my debt in 2013 and loving being debt free :)
    Mortgage free since 2014 :)
  • DEBT_23
    DEBT_23 Posts: 292 Forumite
    £150 bills i wrote down is council tax water gas and elec. yeah i can cut down on going out i got out twice a month and spend £30 on both the 2 nights. im even cycling to work to stop me wasting money on high petrol prices, i kno i dont have lots left over after mortgage and bills etc but this debt is hanging over me and i want to make a start on clearing it, whether it be a IVA or DMP im not sure.
    has anyone had dealing with Halifax? are they ok to deal with direct to make payments to them?
    Bankrupt on 26/03/2009 10:30am No-219 of 2009
    Fresh start ahead. 26/03/10 will soon be here :rolleyes:
    Thanks soo much MSE Br forum :T
  • DEBT_23
    DEBT_23 Posts: 292 Forumite
    DEEP IN DEBT- i know what your sayin i now shop in ALDI lidl etc instead of asda tesco etc.
    my mortgage is 3x my salary, rent similar property to mine in my area im looking at £450 - £500.
    who do i look to for a DMP if you dont mind me asking how long is your DMP for and how much do you pay?
    Bankrupt on 26/03/2009 10:30am No-219 of 2009
    Fresh start ahead. 26/03/10 will soon be here :rolleyes:
    Thanks soo much MSE Br forum :T
  • poorandindenial
    poorandindenial Posts: 4,097 Forumite
    Personally I haven't but if you are thinking about doing your own DMP then check out the DMP mutual support thread, people on there have done every facet of negotiation that you can think of. I will do a link for you in a second. Some people on there have managed DMPs and others run them themselves. Back in a mo.
    £34,547 (Dec 07); Current debt: £zilch (Debt free December 2010)
    Sealed Pot #389 (2010=£133)
  • poorandindenial
    poorandindenial Posts: 4,097 Forumite
    £34,547 (Dec 07); Current debt: £zilch (Debt free December 2010)
    Sealed Pot #389 (2010=£133)
  • DEBT_23
    DEBT_23 Posts: 292 Forumite
    thank you will take a look now. what would you recommened poorandindenail? dmp ? what solution have you taken?
    Bankrupt on 26/03/2009 10:30am No-219 of 2009
    Fresh start ahead. 26/03/10 will soon be here :rolleyes:
    Thanks soo much MSE Br forum :T
  • poorandindenial
    poorandindenial Posts: 4,097 Forumite
    I haven't had to do either thankfully, I am just plodding on with repaying. I know people that have had real problems with IVAs (hence my endless bleating to check it out properly). People on DMPs on here seem to do really quite well, there are letters on the nationaldebtline website that you can send to creditors with a minimum payment (£1) with a full statement of affairs. The thing I dont know about is how it might be with a secured loan. It is worth posting on the mutual support thread for advice from the horses mouth (loads of horses actually)

    To do a DMP you have to know how much you will have left to pay creditors and then they have to get that pro rata so if you have £100 a month to put towards your debt and you had a £5000 loan and two £2500 credit cards the loan would get £50 and the other two would get £25 each.

    The letter also asks then to consider stopping interest. - I'll do links in a second

    I am pretty sure that this DOESN'T include your mortgage though, but please check all the details before you do it. CCCS should give you advoce even if they can't take you on, or a call to National Debtline if you would prefer to speak to them.
    £34,547 (Dec 07); Current debt: £zilch (Debt free December 2010)
    Sealed Pot #389 (2010=£133)
  • poorandindenial
    poorandindenial Posts: 4,097 Forumite
    Here is a link tot he factsheet and letters and things page of national debtline -

    http://www.nationaldebtline.co.uk/england_wales/debt_advice.php#6

    this is the england and wales page, if you are in scotland then click the flag at the top right of the page.

    EDIT: this is the letter - it asks creditors to take pro rata payments based on what you can afford:
    http://www.nationaldebtline.co.uk/england_wales/debt_advice.php#6

    But please do get advice from one of the charities before you go through with this, they can tell you what debts can and can't be included etc etc
    £34,547 (Dec 07); Current debt: £zilch (Debt free December 2010)
    Sealed Pot #389 (2010=£133)
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 352.1K Banking & Borrowing
  • 253.5K Reduce Debt & Boost Income
  • 454.2K Spending & Discounts
  • 245.1K Work, Benefits & Business
  • 600.7K Mortgages, Homes & Bills
  • 177.5K Life & Family
  • 258.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.2K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.