DMP Mutual Support Thread - Part 12

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  • System
    System Posts: 178,076
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    I haven't done this - or even thought about it to be honest. But my thoughts (for what they are worth :rotfl:) are:
    1. Could you talk to your existing lender about 'porting' your existing mortage?
    2. Talk to your existing lender about a better rate
    3. Have you considered the fees and charges you will have to pay for selling and buying? They will eat up a lot of the £15k you will have from selling at £155k and buying at £140k. Does this make it worth doing?
    4. I believe it is possible to get a mortgage whilst on a DMP and brokers are probably the best people to go through to find one. Be warned though, the interest rates are likely to reflect your poor credit rating. Again, does this make it worth considering the move?



    Thanks January. We have a good rate TBH at the moment and I am pretty sure we wouldn't get such a good one, even if we get one at all. It is not really about improving the mortgage rate, more about actually moving as we hate it here and need something smaller. But don't want to move if we end up with a mortgage of the same value. As you say, it will cost a few £££ to actually move, so need to be reducing the mortgage value.


    I did a thing on Rightmove, where you put in your area and selling and buying amount and it works out average moving costs for you. It came up with £4700, which is about what I would have thought. But that was with using a traditional estate agent who charges about 1.5%. I know a lot of the online ones now do a set fee which works out quite a bit cheaper.


    I might speak to our lender and see what they say. We have been with the same company now for over 20 years and never missed a payment....although on the downside, it is Lloyds (Formerly C&G) and we did have debts with Lloyds although they have now been sold on to DCA's.


    Well worst case scenario is we have to wait until the mortgage is paid....approx. 7 years and not move till then. Or as OH keeps telling me...we might inherit some money before then...poor man lives in cloud cuckoo land!
  • January2015
    January2015 Posts: 2,369
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    ploppy57 wrote: »
    Thanks January. We have a good rate TBH at the moment and I am pretty sure we wouldn't get such a good one, even if we get one at all. It is not really about improving the mortgage rate, more about actually moving as we hate it here and need something smaller. But don't want to move if we end up with a mortgage of the same value. As you say, it will cost a few £££ to actually move, so need to be reducing the mortgage value.


    I did a thing on Rightmove, where you put in your area and selling and buying amount and it works out average moving costs for you. It came up with £4700, which is about what I would have thought. But that was with using a traditional estate agent who charges about 1.5%. I know a lot of the online ones now do a set fee which works out quite a bit cheaper.


    I might speak to our lender and see what they say. We have been with the same company now for over 20 years and never missed a payment....although on the downside, it is Lloyds (Formerly C&G) and we did have debts with Lloyds although they have now been sold on to DCA's.


    Well worst case scenario is we have to wait until the mortgage is paid....approx. 7 years and not move till then. Or as OH keeps telling me...we might inherit some money before then...poor man lives in cloud cuckoo land!

    In that case I would talk to you mortgage company about 'porting' your mortgage to another property - if they let you do this you should be able to move and keep the same rate :)
    DFW Nerd No. 1484 LBM 07/01/15 Debt was £95k :eek: Now debt free and happy :j
  • System
    System Posts: 178,076
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    In that case I would talk to you mortgage company about 'porting' your mortgage to another property - if they let you do this you should be able to move and keep the same rate :)


    Yes, I might do that, never realised that might be an option. We can save money by getting a smaller house as this one costs a lot to heat and we may even be able to come down a band in council tax.
  • Hi Hoping it's ok to join in here.
    Been lurking for some time.Had nothing really to add but in the same mess as most here.

    Back in November having reached that point you all know to well I decided to start a self managed DMP.I took heart from the regular contributors & used the NEDCAB site for this.

    I sent letters with my I&E to all creditors & stated I would pay £5 in Jan/Feb & Mar then make the pro-rata payments from my I&E sheet.

    First question I have is at what point does a DMP start?
    After the first letters saying you are in financial trouble or after the first "proper" payments or only if the creditors agree to it.

    Second question Nationwide have just sent me 3 letters (received today) the last 2 say "we've issued you a Default Notice" etc etc. The 3rd says "we've referred your account & a Representative will visit you in 28 days"

    The last letter has me quite panicked as I thought my offers of payment would stop anyone coming to the house.

    What should I do?

    I know this is my 1st post but any advice would be very gratefully received.

    Thanks
  • sourcrates
    sourcrates Posts: 28,647
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    Hi Hoping it's ok to join in here.
    Been lurking for some time.Had nothing really to add but in the same mess as most here.

    Back in November having reached that point you all know to well I decided to start a self managed DMP.I took heart from the regular contributors & used the NEDCAB site for this.

    I sent letters with my I&E to all creditors & stated I would pay £5 in Jan/Feb & Mar then make the pro-rata payments from my I&E sheet.

    First question I have is at what point does a DMP start?
    After the first letters saying you are in financial trouble or after the first "proper" payments or only if the creditors agree to it.

    Second question Nationwide have just sent me 3 letters (received today) the last 2 say "we've issued you a Default Notice" etc etc. The 3rd says "we've referred your account & a Representative will visit you in 28 days"

    The last letter has me quite panicked as I thought my offers of payment would stop anyone coming to the house.

    What should I do?

    I know this is my 1st post but any advice would be very gratefully received.

    Thanks

    Hi,

    Threats of home visits are common DCA tactics, it won’t happen, you have to make an appointment with them, something you won’t be doing I suspect, and this sounds like it’s still the original creditor, which makes it even more unlikely.

    They will be computer generated letters most likely, just keep paying what you said you’d pay, I doubt anyone will be knocking anytime soon.
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing [email protected]. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
  • Hi Sourcrates many thanks for the reassuring comments.Will sleep a little easier tonight.

    I was coping with the "we may do this or that" letters but this one threw me as it said "we will visit you".

    This is all new territory to me.You are an inspiration.
  • System
    System Posts: 178,076
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    edited 13 January 2018 at 8:35AM
    You should do it its never to early to do it. If you read this forum companies have a poor record of keeping paperwork ........I would give it a go you have nothing to lose

    Sorry Braveheart I must have missed this post the other day! Okay I’ll give it a go. I expect they will all comply as they are aren’t that old debts, 1 is 5 years, 1 is 4yrs and 1 is 3.
  • Please can someone advise me, I have had my DMP with stepchange for 2 months now, so far so good. However, One of my debts is Barclaycard, my joint account with my partner for the household bills is with Barclays, this is not my individual account that my salary gets paid into, that is a new basic account with a bank I have no debts with. I am wondering whether Barclaycard can take money out of this joint account? If so will this affect my partner's credit score? The Barclays account is only for household bills and has no excess funds in it. Many thanks for your help so far.
  • January2015
    January2015 Posts: 2,369
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    Sadsecret wrote: »
    Please can someone advise me, I have had my DMP with stepchange for 2 months now, so far so good. However, One of my debts is Barclaycard, my joint account with my partner for the household bills is with Barclays, this is not my individual account that my salary gets paid into, that is a new basic account with a bank I have no debts with. I am wondering whether Barclaycard can take money out of this joint account? If so will this affect my partner's credit score? The Barclays account is only for household bills and has no excess funds in it. Many thanks for your help so far.

    If the BC joint account has your name on it and you owe BC money, then they can use the right of offset on any account with a credit balance - regardless of whether the account is jointly held with another person.

    You may not have excess funds in the joint account, but you do have funds and at any time these funds are at risk of being taken towards clearing your debt.

    I would move your joint account to a bank where you have no debts.
    DFW Nerd No. 1484 LBM 07/01/15 Debt was £95k :eek: Now debt free and happy :j
  • Hello all

    I have made the decision to transfer my DMP from SC to self managed. I have set up an account on NEDCAB, listing all my creditors.

    I think I am going to offer token payments of £1 to all for 6 months, except the 4 that I'm already only paying £5 to (for the sake of £20 I think it will be easier not to rock the boat with fewer creditors). I'm hoping this will force the ones who haven't defaulted me yet, to do so; I should be debt free within 3 years max (I qualify as a solicitor in September so my disposable income will greatly increase) but I have defaults on my account so I know I'm going to be screwed for the next 6 years in terms of getting a mortgage anyway.

    My debts are all relatively small in comparison to some of the figures I've seen on here, so I'm still tossing up whether, with the money I'm saving, I'll offer F&F or snowball the total amounts and pay off the smallest debts first in full etc. I guess I took out all the debt and so I feel I should pay it all back.

    Anyway, my boyfriend who I live with has no idea about any of this (too scared to tell him as he's so good with money I'm fairly confident he'd walk away :( ), hence the 1.30am posts while he's asleep!

    Any advice on any of the above will be gratefully received....
    Got into a payday loan cycle at Uni. :mad: Started DMP April 2017. Current debt: £8,038.12. DFD November 2021 but hopefully sooner with a payrise September 2017.:beer:
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