DMP Mutual Support Thread (Part 4)

Gemmzie

Hi brassmonkey, the budget depends on several factors, your household size, needs etc. For example, we have no pets or kids in the house, so are creditors were fine with £50 for Sky TV and no other entertainment budget.

Overall the budget is designed to be live able while allowing you to clear your debts at a reasonable pace.

Who are you debts with? You want a bank which is completely separate. Then you just want a basic account, transferring direct debits is very simple if you can an account with online banking.

I'm not sure about business accounts but Payplan will know

GirlRacer_2

Hi guys, a little query from me please. How long does it take CCCS to contact creditors following the initial telephone interview. Sister had her interview on Wednesday morning and I'm wondering if everything will be sorted for her by 1st August. She's going down the DMP route.

rayday2

brassmonkey wrote: »

Thanks for that ald65. So is there an official/unofficial list that are classed as essentials so i know roughly what I can realistically budget for?

Got my appointment with payplan on wed evening so I want to be semi prepared. Thing is with my wife not being able to drive I cannot see our situation improving, however if she continues to learn when she passes she can seek work etc etc.

How easy is it to open another bank account and transfer all our direct debits etc etc? Any reccomendations? we bank with lloyds tsb. Also with me being employed by my own limited company I also have a business account with lloyds so would I have to change this as well??

thanks.

This is the offiical sort of standard of accepted amounts if that helps

http://www.hmrc.gov.uk/manuals/dmbmanual/DMBM800120.htm

The quicker you change your bank accounts the better you will get a "better" bank account I did mine before I sent letters out and got a good with one Cahoot. As for the business accounts etc I am not sure so would recommend you swopped in case better to do that than learn the hard way! Also personally I know Lloyds use information to snoop.

My ex husband banked with Lloyds and so did the company he worked for it was a small company and over night Lloyds suddenly wanted to call his overdraft in - the same day as his boss was turned down a business loan and his boss personal account the same happened and one of the other employees too so very much a coincidence!

newlywed

GirlRacer wrote: »

Hi guys, a little query from me please. How long does it take CCCS to contact creditors following the initial telephone interview. Sister had her interview on Wednesday morning and I'm wondering if everything will be sorted for her by 1st August. She's going down the DMP route.

It depends a bit on how quickly she returns all the statements and DMP agreement when she gets her pack

I think in total, it took about a month to set mine up.

Once CCCS got my signed agreement and all my debt statements (with account numbers etc) they contacted the companies within a few days.

First though, your sis needs to wait for the pack to come in the post, then needs to sign the agreement, send it off with copies of her statements. Then she can start as soon as she's done that - I'm pretty sure it'll be sorted ready for first payment 1 August - as long as she sends stuff back t them quickly

Meanwhile, if she owes her bank money (eg overdraft or credit card) then she would do well to find another bank that isn't connected with anyone she owes money to, and arrange for any wages/benefits to be paid into the new account

andytwonames

Hi all,

From what I can gather here, Payplan and CCCS are about equal for customer service. They both seem supportive and switched on.

I would now suggest that anyone with a NR together mortgage (where some of the loan is unsecured) goes with Payplan.

I spoke with payplan today and they say that since NR always come in with all guns blazing and go for CCJ and Charging order, Payplan treat the unsecured part of the loan as if it were secured and therefore leave it out of the DMP. Going down this route and leaving the NR payments as they always were means that NR don't get upset.

Other than that, I wouldn't care how the money got split between the creditors but as stated by others, Payplan work on the basis of amount owed rather than contractual payment.

So... now I have to go off and do all the figures again with Payplan.

Andy.

p.s. I phoned EGG on Friday and they were fine. The woman I spoke to said that they were about to go out to debt collectors but since I had made contact and was in the process of sorting out, she would put a hold on it. She also said that interest is always stopped once the DMP starts.

pinksparkle_2

newlywed wrote: »

It depends a bit on how quickly she returns all the statements and DMP agreement when she gets her pack

I think in total, it took about a month to set mine up.

Once CCCS got my signed agreement and all my debt statements (with account numbers etc) they contacted the companies within a few days.

First though, your sis needs to wait for the pack to come in the post, then needs to sign the agreement, send it off with copies of her statements. Then she can start as soon as she's done that - I'm pretty sure it'll be sorted ready for first payment 1 August - as long as she sends stuff back t them quickly

Meanwhile, if she owes her bank money (eg overdraft or credit card) then she would do well to find another bank that isn't connected with anyone she owes money to, and arrange for any wages/benefits to be paid into the new account

Quick question, When i had my appointment with Payplan over the phone, whilst discussing whats the worst action the creditors would take after being notified of my DMP etc (i was concerned about not being unable to remortgage in 3 years time), Im sure they did say that their is a minimum amount that the creditors will accept without even bothering changing my credit report, i.e, the credit ref agencies wont be informed as i would be paying an acceptable monthly amount...Has anyone heard of this???

Pinksparkle
x

newlywed

pinksparkle wrote: »

Quick question, When i had my appointment with Payplan over the phone, whilst discussing whats the worst action the creditors would take after being notified of my DMP etc (i was concerned about not being unable to remortgage in 3 years time), Im sure they did say that their is a minimum amount that the creditors will accept without even bothering changing my credit report, i.e, the credit ref agencies wont be informed as i would be paying an acceptable monthly amount...Has anyone heard of this???

Pinksparkle
x

Sorry - not heard of that at all. I understood if you aren't making the minimum payment you originally agreed to then they "could" issue you with a default.

On my credit file I have two defaults, one marked as DMP arrangement and the other one is still charging interest but have added nothing adverse to my credit file at all. All are getting well over £100 a month but this is still much less than the contractual arrangements - hence the defaults.

rayday2

I remortgaged two months ago after being on a DMP for two years. The whole point of having a DMP is being able to afford your mortgage and living costs so you really need to get in the mind of thinking what is important is being able to live now and try not to worry about credit histories.

pinksparkle_2

newlywed wrote: »

Sorry - not heard of that at all. I understood if you aren't making the minimum payment you originally agreed to then they "could" issue you with a default.

On my credit file I have two defaults, one marked as DMP arrangement and the other one is still charging interest but have added nothing adverse to my credit file at all. All are getting well over £100 a month but this is still much less than the contractual arrangements - hence the defaults.

Sorry to still all new to this, what do you mean by adverse???

newlywed

pinksparkle wrote: »

Sorry to still all new to this, what do you mean by adverse???

nothing bad They haven't added any DMP note, any Default notices, or any late payment notices to the account. So if this was my only debt, my credit report would be squeaky clean - but they are charging me 6% interest on my DMP and refusing to stop interest for the privilege :rolleyes:

I'd rather they just defaulted it and black marked my credit score as it would then just match all the rest of my debts (my credit report is certainly not squeaky clean), but then interest could stop.