DMP Mutual Support Thread (Part 4)

Althea

Amyboo wrote: »

We make manual payments for the visa's so I'm going to print the covering letter off and send a token payment. Would a token payment for a £1 be ok or more? Is it better to send a postal order or a cheque? .

Sorry Amy, forgot to answer your question about the token payment amount. I queried this with CCCS too (I asked them quite a bit, all by email ) as I was slightly worried about paying so little, and their advice was simply to pay just as much as you feel you can afford and no more. They said a token payment is just that - it's a way of saying, I'm not running out on my debt, this is to show you I'm still going to be paying my debt but while my payment plan is set up, this is a small amount to show you I'm still paying. If you know what I mean! In the end I personally paid a little bit more than the standard £1 but most people I know make their token payment £1.

Hope that helps!

symesd

ruthie70 wrote: »

Rabbit-in-headlights wrote: »

Hi RiH - maybe I am not working out the pro-rata payment correctly...what I did was list all the debts and got the total outstanding £43,043 - I worked out that NR had £19,500 due to them which would be multiplied by my surplus cash £450 then divided by the £43,043 = £203.86. I think I got the way to calculate this from the CCCS website. However, perhaps they work it out differently depending how much you are currently paying - if that's the case will have to see what the CCCS propose to pay everyone....;)

Yep this is correct, a good way to work it out :

Debt Amount / Total Debt = % of Debt
Surplus x % of Debt = Pro-rata Payment

hope this helps

debt_daisy

Hi All,

Haven't posted for a few days. I sent all my CCCS stuff, Credit agreements, proof of income etc off last Tuesday and I haven't heard anything back yet. How long does it take for them to get back to you? I was under the impression that I would be paying my first payment in December? Also I have cancelled all DD's etc on the same day (tuesday) but I haven't had any creditors call me etc- not that I'm complaining, i'm just worried that this is the calm before the storm?! :S

Anyways just to say I can't believe how stressful it was writing out all the letters, getting the PO's, sending everything recorded, writing envelopes etc! I had to take a day off work just to cope with it all, I felt really guilty but I just wanted to get it all done and calm down. I'm not sure if I sent some of my letters to the right address but searched online and just tried to find the right ones and use the addresses on the back of statements etc! agrrhhh hope it's all ok I really do as I just want to start paying and hopefully have the dmp all agreed with everyone!

Oh and also what's a CCA? I am new to all this and still trying to make sense of it all. Sorry to sound so naive.

Anyways that's all from me... Just another thing can I have a number to go with my signature?!

Thanks for all your support!

halight

Hi,

Iv been on this site for a while but this is the first time iv read this thred.
Iv been on a DMP for 4 years and iv only got 10 months left on it untill its all paid off. I wish i had come across this site years ago!!!!

Any way i just throut that id wish you all the ver best and loads of luck with your DMPs
im glad i started mine its been long and hard but well worth it.!!!!!!!!!!!
Ill pop in now and agin to have aread and keep upto date and maybe offer a bit of help were needed.

Good luck everyone

ruthie70

debt_daisy wrote: »

Hi All,

Haven't posted for a few days. I sent all my CCCS stuff, Credit agreements, proof of income etc off last Tuesday and I haven't heard anything back yet. How long does it take for them to get back to you? I was under the impression that I would be paying my first payment in December? Also I have cancelled all DD's etc on the same day (tuesday) but I haven't had any creditors call me etc- not that I'm complaining, i'm just worried that this is the calm before the storm?! :S

Anyways just to say I can't believe how stressful it was writing out all the letters, getting the PO's, sending everything recorded, writing envelopes etc! I had to take a day off work just to cope with it all, I felt really guilty but I just wanted to get it all done and calm down. I'm not sure if I sent some of my letters to the right address but searched online and just tried to find the right ones and use the addresses on the back of statements etc! agrrhhh hope it's all ok I really do as I just want to start paying and hopefully have the dmp all agreed with everyone!

Oh and also what's a CCA? I am new to all this and still trying to make sense of it all. Sorry to sound so naive.

Anyways that's all from me... Just another thing can I have a number to go with my signature?!

Thanks for all your support!

Hi DD - I'm in the same position, posted all the stuff on Thursday, phoned them on Friday and they have received it :T just a case of waiting now, not something I'm good at. I know how you feel re the stress of it all - I just cracked last week, I felt I had so much on my plate with work, organising kids and the worry of this on top, I couldn't stop crying. Took a few days off work and I'm back to my old self (almost) and waiting in anticipation for the arrival of my Welcome Pack from CCCS. I also think this is the calm before the storm, things strangely quiet - even had my bill in from Next today and my credit limit had been increased :eek: Hubby has had two calls from Aqua and Barclays re missed payments (we just made token payments till things set up) and they were both very nice and said they'd place the accounts on hold until they held from CCCS. Hope this is the shape of things to come - although I really don't think it's all going to be as smooth.....

A CCA is a Customer/Consumer Credit Agreement (I think!). Many years ago I remember you had to sign this before you got the credit but have not signed one for years.

debt_daisy

Hey Ruthie,

Thanks so much for the reply! That was really helpful!! I may phone CCCS tomos if i haven't heard anything just to see perhaps if they received it. Good luck with everything and stay in touch! It's so nice to have friends on here who can help us through everything, the kind words, encouragement and advice has been priceless on here and I look forward to speaking to you more...I don't know about you but I am def going to be a long hauler for now I think for the time being it told me around 13 years when filled in my remedy but I am going to work hard to reduce that, ebay, second job maybe, bootsales- basically anything I can lay my hands on!!

xx DD

ruthie70

debt_daisy wrote: »

Hey Ruthie,

Thanks so much for the reply! That was really helpful!! I may phone CCCS tomos if i haven't heard anything just to see perhaps if they received it. Good luck with everything and stay in touch! It's so nice to have friends on here who can help us through everything, the kind words, encouragement and advice has been priceless on here and I look forward to speaking to you more...I don't know about you but I am def going to be a long hauler for now I think for the time being it told me around 13 years when filled in my remedy but I am going to work hard to reduce that, ebay, second job maybe, bootsales- basically anything I can lay my hands on!!

xx DD

Hi there - I'm definitely going to be around for a while too - I think about 9 years initially but hoping this will reduce once we've paid off mortgage arrears in January. This site is great - really makes me feel I'm not alone When I first decided to go down this route felt like I had DMP stamped on my forehead and everyone knew the mess I was in as I walked down the street. Now I realise lots of people are in the same boat - probably half my street

Keep us updated re the CCCS - you should get your stuff before me :j :j

Rabbit-in-headlights

symesd wrote: »

ruthie70 wrote: »

Yep this is correct, a good way to work it out :

Debt Amount / Total Debt = % of Debt
Surplus x % of Debt = Pro-rata Payment

hope this helps

Hi symesd, ruthie,

The calculation above is correct if the pro rata payments are based on the total debt oustanding (I believe this is how Payplan calculate it), however with CCCS they apply the proportions against the contractual payments (min. payments for credit cards), not the full amount outstanding.

For example, 2 of my debts are getting almost identical payments in my DMP even though I owe one of them almost twice as much as the other (one was a loan, one a cc), but the contractual monthly payments were similar.

The maths is something like this...

Take monthly contractual payments for each debt and divide into the total contractual payment to obtain a % for each one.
Multiply the total DMP amount by that % to calculate how much each creditor will get.

so:

Contractual Payment Amount / Total Contractual Payments = % of Contractual Payment Total

Surplus x % of Contractual Payment Total = Pro-rata Payment

Hope this clears things up a bit...


Rabbit

ruthie70

Thanks RiH, based on that calculation NR will be offered £139 approx - so for example, I only owe Freemans about £500 but the contractual figure is £61, does that mean they could end up getting a similar payment to a credit card with a balance of £2,500? I think the Paypal way of working things out seems a bit fairer but will wait and see when I get all the info from CCCS re my payments.

Rabbit-in-headlights

Hi ruthie,

It does seems a bit strange, doesn't it? I suppose it's to make sure that the creditors owed the most money don't suddenly get offered more than they were getting before the DMP, which I guess could happen? At least this way the smaller debts will be paid off sooner and so the payments to the remaining bigger ones can then be increased....

Rabbit