DMP Mutual Support Thread - Part 12

Daveb45 · 7 February 2018 at 7:17PM

I hate to admit this but I am not very good on the phone and I am some what scared of talking to people who are more at ease than me. I would prefer to write to my creditors by recorded delivery, is there a template letter or can anyone give me pointers as what to write. Thanks in advance. Reading some of the situations people have found themselves in and how they are moving forward gives me hope.

motivated · 7 February 2018 at 7:23PM

Hi all

Another big fan of this site and this thread. It saved myself and DH from ourselves.

We are only 1 year in on the DMP journey and I love it

. We also never had a late or missed payment and even though our debt was/is massive we still had CCs raising our limits constantly.

One massive wake up call around Christmas time and bang I asked for advice on here and was led in the right direction and here I am still going in the right direction and have never looked back.

Good luck Ian , stick around you will be fine. Our creditors have given us no grief whatsoever considering what we owe them.
M

January2015 · 7 February 2018 at 8:45PM

Daveb45 wrote: »

I hate to admit this but I am not very good on the phone and I am some what scared of talking to people who are more at ease than me. I would prefer to write to my creditors by recorded delivery, is there a template letter or can anyone give me pointers as what to write. Thanks in advance. Reading some of the situations people have found themselves in and how they are moving forward gives me hope.

Don't waste your time sending recorded delivery. Just ask at post office for proof of posting - it's free

What are you writing to creditors about? There are lots of templates, but they are all for different scenarios, e.g. starting a DMP, requesting a CCA etc. Let us know where you are at with your plans and we can help with templates

Onebrokelady · 7 February 2018 at 9:12PM

IANB77 wrote: »

Thanks OBL. Yep step forward into the unknown but with hope in our hearts... I have found SC easy to deal with so far and no real issues at all. I haven't even had to speak to them over the phone. And it didn't take them long after ecieving the paperwork back to contacting the creditors. Less than a week.

I ended up speaking to them on the phone because I filled the forms out wrong online and it’s recommended bankruptcy :eek: so I thought I would phone instead and they recommended a DMP instead,hopefully mine will be dealt with as quickly as yours was

Suseka97 · 7 February 2018 at 10:09PM

IANB77 wrote: »

So have i done this wrong then? And jumped straight in?

Most of us who have been on a DMP for a wee while and who have the benefit of hindsight - advise people looking to start down this road to give themselves a bit of breathing space in order to build up a financial buffer before jumping in. The main reason is because you never know what's around the corner and generally the amount SC allow for an emergency fund each month isn't that great. But you've started now so I would just carry on as you are and should you find yourself needing a 'break' in order to pay an unexpected bill, then just tell SC that's what you need to do. There are plenty of folks who have done that and whilst SC don't like you to do it too frequently, it doesn't mean you can't.

Summer12 · 8 February 2018 at 7:41AM

Morning,
Further to my post above and some more research on debt camel (what a great web site). It seems that I was right if you have enough equity in your house then indeed unsecured creditors can request (and then subsequently take you to court for a charge on your house). Which leads me to the conclusion that I may aswell try the secured loan route even though it’ll cost me more,take longer etc before my credit file is trashed by a dmp as after starting one surely any loan offer (if at all) would be an even worse interest rate. Seems to be little difference in unsecured debts to secured debts action just that it takes longer to get there for the creditor. Any one had any experience of creditors threatening to put charge on their house/court action (or actually going ahead with it)? Thank you in advance, going to sleep thinking about it and first think I worry about when I wake.

System · 8 February 2018 at 8:49AM

Summer12 wrote: »

Morning,
Further to my post above and some more research on debt camel (what a great web site). It seems that I was right if you have enough equity in your house then indeed unsecured creditors can request (and then subsequently take you to court for a charge on your house). Which leads me to the conclusion that I may aswell try the secured loan route even though it’ll cost me more,take longer etc before my credit file is trashed by a dmp as after starting one surely any loan offer (if at all) would be an even worse interest rate. Seems to be little difference in unsecured debts to secured debts action just that it takes longer to get there for the creditor. Any one had any experience of creditors threatening to put charge on their house/court action (or actually going ahead with it)? Thank you in advance, going to sleep thinking about it and first think I worry about when I wake.

Hi, I'm sure others will be along to advise as well, and correct me if I am wrong, but I have never heard of creditors taking money from your equity....we have equity in our property. When we started SC DMP, they did ask if moving house was a consideration to help pay debts and I said no, which they accepted.
Creditors will accept your payment plan as long as you send an Income and Expenditure form, so they can see that you are doing the best you can to pay your debts.
Personally I would take the DMP route any time

IANB77 · 8 February 2018 at 9:20AM

Morning All, I got the below email this morning. I take it this is just normal and that i can be expecting more like this from other creditors? Thing is i have not had a "Notice of default sums"???? The only recent one i had from the was they had entered onto there system i was "under credit counseling"

Pursuant to the Loan Agreement that you signed and the Terms & Conditions thereof, you are in default of the above referenced loan and have failed to take corrective action as detailed in the Notice of Default Sums sent to you at least 15 days ago.

We hereby exercise our contractual right of Acceleration. This means that:

- Your entire loan amount of principal, accrued interest and fees of £473.66 is now due.

- We may notify the credit reporting agency of your default on this loan.

- We may sell your debt to a third-party debt purchaser who may exercise any rights available under the law in collecting the amount owed.

- Interest will not accrue from this point forward.

If you are experiencing difficulty in paying the sums owed under the agreement, then this notice serves as Pounds to Pocket!!!8217;s offer to you to contact our Collections Team and work out equitable relief.

If you have queries, email or ring us promptly. We value your business, and we ask you to contact us immediately to resolve this matter. In order to retain your good standing with our company and the Credit Reporting Agency, we must hear from you immediately. Possible payment methods include:

- Debit Card

- Direct Debit from your bank account

If you have already made payment arrangements for the entire balance, please disregard this email.

WARNING: Late repayment can cause you serious money problems. For help, go to moneyadviceservice.org.uk

Pounds to Pocket Customer Support Team

FoolishGirl77 · 8 February 2018 at 9:25AM

Looks quite standard to me and as you’ll quickly realise on this thread defaults are good.

The email is not the start of any proceedings as far as I can tell and opens the doors to agreeing a reasonable affordable repayment plan for a set amount with interest frozen so looks good to me.

This sort of message is common at this point in the proceedings.

Others more knowledgable than me may wish to correct me if I am wrong.

FoolishGirl77 · 8 February 2018 at 9:30AM

I had (and still have) enough equity to cover my debts before starting the DMP a few years ago. I originally started my DMP with a fee paying outfit (I know) and they said that whilst a creditor could technically place a second charge on your home it was unlikely and they advised against further secured credit to payoff unsecured credit. Your home is at greater risk if you do this (at least that’s the advice I had).

I have been in a DMP for 3 years now and the debt total has reduced by 2/3 and there has been no issues with my equity.

It’s not a route I would want to go down.

DMP Mutual Support Thread - Part 12

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