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  • FIRST POST
    • sourcrates
    • By sourcrates 18th Sep 18, 9:40 PM
    • 18,037Posts
    • 16,967Thanks
    sourcrates
    DMP mutual support thread part 13 !!
    • #1
    • 18th Sep 18, 9:40 PM
    DMP mutual support thread part 13 !! 18th Sep 18 at 9:40 PM
    Welcome to the DMP mutual support thread Part 13 !!

    Here you can find help in starting and running your DMP, self managed, Stepchange, Payplan and any other DMP all welcome here, but we do encourage you to use a free service, not one you pay for.

    There is help on getting interest and charges stopped, how to start with an emergency fund, defaults, token payments and lots more.

    If you are in a DMP or thinking of one, this is the place to be.

    We are non judgmental and all DMP related questions are welcome.

    Again the old thread was getting a tad long, so time, yet again, for a new one.

    The old thread can be found here :

    https://forums.moneysavingexpert.com/showthread.php?t=5623951


    This Forum tip was included in MoneySavingExpert.com's weekly email!
    Last edited by Former MSE Andrea; 13-03-2019 at 8:03 AM.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".

    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views expressed are mine and not the official line of MoneySavingExpert.com.

    Helping you deal with problem debt.

    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
Page 81
    • MrTall
    • By MrTall 5th Jun 19, 7:45 AM
    • 4 Posts
    • 1 Thanks
    MrTall
    Hi all!


    Currently going through the process of getting a DMP arranged with SC - I have filled out, but not yet returned the paperwork for this. After the I&E I can realistically afford to pay 1.2k across all creditors, and should all creditors accept then I should be DF in just over 5 years.



    However with the situation I'm in currently I'm not sure about that first payment to SC going though. I get paid around the 20th of the month, with all bills coming out shortly after. I'm also waiting on a new bank account to be opened, as one of the creditors is Barclays with an overdraft, but changes to my bank for salary purposes need to go through by the 11th which is unlikely to happen.


    What I'm unsure of is how to fully go about this between submitting the DMP and getting accounts changed. My understanding is to submit the completed forms and information to SC, contact all creditors (except for Barclays - I'll contact these one my new account with NatWest is finished) and inform them of speaking to SC in regards to debt management, cancel DD's and pay what I can towards the bills.


    My issue with this is how SC seem to want monies on account for this by the middle of the month, just right before pay day. Should I therefore be offering to pay the creditors a much smaller token amount prior to the setup of the DMP, with the understanding that the payment amounts will increase once it is up and running?


    Cheers!
    • Suseka97
    • By Suseka97 5th Jun 19, 11:29 AM
    • 781 Posts
    • 892 Thanks
    Suseka97
    ..........
    My issue with this is how SC seem to want monies on account for this by the middle of the month, just right before pay day. Should I therefore be offering to pay the creditors a much smaller token amount prior to the setup of the DMP, with the understanding that the payment amounts will increase once it is up and running? Cheers!
    Originally posted by MrTall
    Okay, sounds like you have things in hand - which is good. What you need to do is stall setting up your DMP for at least 3 months, during which time you make no payments to your creditors in order to build up an emergency fund for those 'unknown expenses' that could trip you up at some point along the way.

    My advice therefore would be to cancel all your non priority debt payments (direct debits) with immediate effect and write to them to say you are experiencing financial difficulties and that you are in discussion with StepChange (you can also provide the SC reference if you wish). Tell them that you will be in touch with them in due course once you are in a position to make offers of payment, but that is likely to take a few months (or words to that effect). Most, if not all, will put your account on hold for 30 days as a starting point.

    Then progress with your plans to set up a new bank account with an institution that has no connections with any of your other creditors and once set up transfer your household bill payments and other priority debt payments across to that. Do that manually so your bank is not alerted to the fact you are about to put your overdraft or any other debt associated with them into a DMP.

    That will give you the headspace you need and you can then get your DMP up and running a little further down the line and it then shouldn't matter what day of the month the SC payment is taken from your account.
    • MrTall
    • By MrTall 5th Jun 19, 1:33 PM
    • 4 Posts
    • 1 Thanks
    MrTall
    Suseka,


    Many, many thanks for that, really appreciated! Drafted a letter along those lines now (and requested future correspondence to be written - much easier to keep a record!), so will cancel the DD's for non-priority debts and get that sent off ASAP!


    The new account is just a basic account, and opted not to use the switching feature just in case.


    Even just starting on this feels like a burden and worry is being lifted.
    • Suseka97
    • By Suseka97 5th Jun 19, 1:54 PM
    • 781 Posts
    • 892 Thanks
    Suseka97
    Suseka,
    Many, many thanks for that, really appreciated! Drafted a letter along those lines now (and requested future correspondence to be written - much easier to keep a record!), so will cancel the DD's for non-priority debts and get that sent off ASAP!
    The new account is just a basic account, and opted not to use the switching feature just in case. Even just starting on this feels like a burden and worry is being lifted.
    Originally posted by MrTall
    Excellent! You've definitely have a good handle on this and once things settle down, and it will take a wee while, it'll be the best thing you've done to resolve your financial issues. There's much to learn about DMPs, so worth you taking time to read back through this thread - becuase you will find answers to many questions that pop into your head along the way. With that said - do also feel welcome to ask us anything you're not sure about.

    Do hold SC off for a while - even though they will likely want you to start asap
    • Cem13009879
    • By Cem13009879 5th Jun 19, 3:21 PM
    • 8 Posts
    • 0 Thanks
    Cem13009879
    Help please, can I take 2 month break form my SC DMP?
    Hi All,

    I have been on a stepchange DMP since start of October, so far, so good, but I'm starting to feel like i'm struggling. I earn £1,500 a month and £438 of that goes on my DMP. With my rent and fuel expenses This is another £550 a month and the last £500 doesn't last very long even with a tight budget, but insurance, phone etc it quickly goes! I was about to call SC to talk about lowering payments, when now my car needs an unexpected repair, which I don't have money for! I haven't built up and emergency fund and I have no way of paying this so need to cancel my DMP payment for this month. Does anyone know if SC allow me to take a break for a month or 2? I like that SC do all the negotiation, so do not want to go self managed.
    Any help welcome, thank you all x
    • Cem13009879
    • By Cem13009879 5th Jun 19, 4:58 PM
    • 8 Posts
    • 0 Thanks
    Cem13009879
    Thank you again - thatís really reassuring - it feels a scary step but I think I need to be a bit more in control of things..
    Originally posted by Knitqueen
    Hi Knitqueen, how did it go? I'm currently in the same postion
    • Willing2Learn
    • By Willing2Learn 5th Jun 19, 5:09 PM
    • 3,811 Posts
    • 3,403 Thanks
    Willing2Learn
    Hi Knitqueen, how did it go? I'm currently in the same postion
    Originally posted by Cem13009879
    I believe that Knitqueen went from an SC DMP to a self-managing DMP last month.

    See her thread linked below:
    New Self Managing DMP Question

    Just in case you are half-thinking about self-managing. Have a look at the NEDCAB site, so that you can read up on how it can work.
    https://nedcab.cabmoney.org.uk/dmp.asp


    And to go back to your question you posted previously. "Does anyone know if SC allow me to take a break for a month or 2?". Yes, I believe SC will allow you to take a break for 1-2 months...
    Last edited by Willing2Learn; 05-06-2019 at 5:13 PM.
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    • Fiona CW
    • By Fiona CW 5th Jun 19, 5:16 PM
    • 107 Posts
    • 70 Thanks
    Fiona CW
    Step Change allowed me to take a break one month
    • Suseka97
    • By Suseka97 6th Jun 19, 3:16 AM
    • 781 Posts
    • 892 Thanks
    Suseka97
    ........I have been on a stepchange DMP since start of October, so far, so good, but I'm starting to feel like i'm struggling. I earn £1,500 a month and £438 of that goes on my DMP. With my rent and fuel expenses This is another £550 a month and the last £500 doesn't last very long even with a tight budget, but insurance, phone etc it quickly goes! I was about to call SC to talk about lowering payments, when now my car needs an unexpected repair, which I don't have money for! I haven't built up and emergency fund and I have no way of paying this so need to cancel my DMP payment for this month. Does anyone know if SC allow me to take a break for a month or 2? I like that SC do all the negotiation, so do not want to go self managed. Any help welcome, thank you all x
    Originally posted by Cem13009879
    I knew of a guy who took a number of 'breaks' throughout his DMP - so the answer is yes. Also, this is an example of why we do try to stress the need for people to pause on the 'go' button when setting up their DMPs so that they have time to build an emergency fund. That's not a criticism of you.. just a nudge to others who might be looking at DMPs.

    But as to your point about SC doing all the negotiations - to be honest, they don't really 'negotiate' anything. They do work with you to pull together an I&E, which then determines how much money is available for your creditors (and to which me it sounds as if yours isn't sustainable, so worth revisiting that with SC for sure) and they do then send that off to your creditors with the offer of payment. So from that perspective they are great at helping folks get control of their financial crisis. But going self-managed using NEDCABs resources is also very straightforward - again a point directed at anyone thinking of going self-managed.
    • vicki84
    • By vicki84 6th Jun 19, 6:18 PM
    • 166 Posts
    • 46 Thanks
    vicki84
    New DMP
    Hi

    Looking for some advice I have contacted step change today to set up a dmp I feel such an idiot for getting into this situation. Iím am unsure how long it takes for things to be set up. So I am feeling abit unsure and lost. Iíve filled in the paperwork and emailed it back with
    my wage slips etc.

    Any advice would be appreciated.
    • Girl_unknown
    • By Girl_unknown 6th Jun 19, 7:39 PM
    • 8 Posts
    • 0 Thanks
    Girl_unknown
    The other day I asked about what else could i do about Barclays harassment and it was suggested to make a second complaint to them via email and sign for letter off the National debtline since then I have had a letter telling me all my numbers have been removed dated 31st (id been phoned that day and asked about complaining further on here), I emailed the other letter and sent it (it for signed for on 4th June) and they are still phoning my works, reading about complaining to FOS. Do I need to wait for 8 weeks before I can do anymore about it even though I have a letter saying they have done as I've asked ?
    • sourcrates
    • By sourcrates 6th Jun 19, 8:42 PM
    • 18,037 Posts
    • 16,967 Thanks
    sourcrates
    Hi

    Looking for some advice I have contacted step change today to set up a dmp I feel such an idiot for getting into this situation. Iím am unsure how long it takes for things to be set up. So I am feeling abit unsure and lost. Iíve filled in the paperwork and emailed it back with
    my wage slips etc.

    Any advice would be appreciated.
    Originally posted by vicki84
    Hi,

    Well done for taking the first step.

    One thing you must do is save up a good emergency fund, this is done by stopping payment to creditors for a while, nothing happens fast in debt collection, so take a chill pill, and donít fret about it.

    Doesnít matter if it takes a month or six, just go with the flo, the creditors will fall into line.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".

    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views expressed are mine and not the official line of MoneySavingExpert.com.

    Helping you deal with problem debt.

    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
    • sourcrates
    • By sourcrates 6th Jun 19, 8:44 PM
    • 18,037 Posts
    • 16,967 Thanks
    sourcrates
    The other day I asked about what else could i do about Barclays harassment and it was suggested to make a second complaint to them via email and sign for letter off the National debtline since then I have had a letter telling me all my numbers have been removed dated 31st (id been phoned that day and asked about complaining further on here), I emailed the other letter and sent it (it for signed for on 4th June) and they are still phoning my works, reading about complaining to FOS. Do I need to wait for 8 weeks before I can do anymore about it even though I have a letter saying they have done as I've asked ?
    Originally posted by Girl_unknown
    Hi,

    Just turn off the phone and donít worry too much about it.

    Send a proper written letter of complaint, non of this email rubbish.

    Legally things must be done in writing to be upheld.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".

    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views expressed are mine and not the official line of MoneySavingExpert.com.

    Helping you deal with problem debt.

    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
    • vicki84
    • By vicki84 6th Jun 19, 8:49 PM
    • 166 Posts
    • 46 Thanks
    vicki84
    Hi,

    Well done for taking the first step.

    One thing you must do is save up a good emergency fund, this is done by stopping payment to creditors for a while, nothing happens fast in debt collection, so take a chill pill, and donít fret about it.

    Doesnít matter if it takes a month or six, just go with the flo, the creditors will fall into line.
    Originally posted by sourcrates
    Thanks do I need to contact my creditors to say I am arranging things with step change. Do you know how long it usually takes to set things up.
    • sourcrates
    • By sourcrates 6th Jun 19, 10:52 PM
    • 18,037 Posts
    • 16,967 Thanks
    sourcrates
    Thanks do I need to contact my creditors to say I am arranging things with step change. Do you know how long it usually takes to set things up.
    Originally posted by vicki84
    Write and tell them your in financial trouble and that you are taking advice from Stepchange, and you will contact them in due course.
    Take a few months to save an emergency fund, I know you are keen to get the ball rolling, but you need an EM, for all the little problems that may crop up along the way.

    Stepchange are not on the same wavelength on this issue, so you need to do this yourself, itís a shame they donít advise you to do this, but then they are funded by the creditors, thatís were this forum comes in.

    This subject has been covered many times in the past, I advise you to read the full thread, if you can, itís packed full of the answers you need.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".

    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views expressed are mine and not the official line of MoneySavingExpert.com.

    Helping you deal with problem debt.

    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
    • Girl_unknown
    • By Girl_unknown 7th Jun 19, 12:49 AM
    • 8 Posts
    • 0 Thanks
    Girl_unknown
    Sourcrates i did that, they keep phoning my work, complaining to them hadn't worked, I've done it 3 times and every time they phone that's why I want to complain further via letter but I read it has to be 8 weeks (so another 6 weeks of calls to my work where it's not always me that gets to the phone first)
    • Suseka97
    • By Suseka97 7th Jun 19, 5:36 AM
    • 781 Posts
    • 892 Thanks
    Suseka97
    The other day I asked about what else could i do about Barclays harassment and it was suggested to make a second complaint to them via email and sign for letter off the National debtline since then I have had a letter telling me all my numbers have been removed dated 31st (id been phoned that day and asked about complaining further on here), I emailed the other letter and sent it (it for signed for on 4th June) and they are still phoning my works, reading about complaining to FOS. Do I need to wait for 8 weeks before I can do anymore about it even though I have a letter saying they have done as I've asked ?
    Originally posted by Girl_unknown
    Sourcrates i did that, they keep phoning my work, complaining to them hadn't worked, I've done it 3 times and every time they phone that's why I want to complain further via letter but I read it has to be 8 weeks (so another 6 weeks of calls to my work where it's not always me that gets to the phone first)
    Originally posted by Girl_unknown
    This sounds as if its a bit of the left hand not knowing what the right hand is doing. They are a large organisation and it takes a while for things to filter through. If it were me I'd contact whoever sent you a letter to confirm that your phone numbers had been removed and tell them you are still getting calls. Call them from home and be firm that if you receive any more calls to your work number you will immediately contact the Information Commissioners Office as they are in breach of data protection regulations. Speak to the manager if needs be and get a name.
    • Suseka97
    • By Suseka97 7th Jun 19, 5:48 AM
    • 781 Posts
    • 892 Thanks
    Suseka97
    Hi
    Looking for some advice I have contacted step change today to set up a dmp I feel such an idiot for getting into this situation. Iím am unsure how long it takes for things to be set up. So I am feeling abit unsure and lost. Iíve filled in the paperwork and emailed it back with
    my wage slips etc. Any advice would be appreciated.
    Originally posted by vicki84
    Thanks do I need to contact my creditors to say I am arranging things with step change. Do you know how long it usually takes to set things up.
    Originally posted by vicki84
    Do take the advice already given and don't rush into this. You need time to build up an emergency fund. Look back on this thread at the advice I gave to MrTall a few posts up. The mistake a lot of people make is to panic and feel that they must get their DMP up and running quickly, Once you start your DMP you are likely to be in it for the long haul - you will have no access to credit and so if some sort of emergency happens (car breaks down, boiler fails etc.) they then panic again because they have no money for that. SC will naturally say that in the case of an emergency you can likely take a payment break - but creditors get a bit twitchy if you do that too many times over the years (admittedly they can't do much about it, but still).

    So, it means nothing in the long run if you take anything from 3 - 6 months before you launch into a DMP. Nothing bad will happen to you in that timeframe (no CCJs, no doorstep debt collectors). Stop your non priority debt payments, write to your creditors to tell them what's happening, set up a new bank account if you have debts associated to your current bank, get your salary moved over to the new account along with your priority bills (Rent, Mortgage, Utilities etc.) - do that manually (don't use a switching service if you have debts associated with your bank. Take time to build up your EF and then start your DMP.
    • smiff_50
    • By smiff_50 7th Jun 19, 8:21 AM
    • 14 Posts
    • 26 Thanks
    smiff_50
    Self managing DMP
    So I've closed my stepchange plan after four years and gone self managed. I've written to creditors saying there will be a short break in payments to September even giving a reason and offering exact same payment.
    One of my creditors has replied that they won't accept non payment to September and want me to fill out I&e. I'm waiting on others but should I just ignore them and pay in September monitoring letters etc of course? Or do I have to respond?

    Thanks for all the help.
    • Moveslikeagger
    • By Moveslikeagger 7th Jun 19, 8:44 AM
    • 48 Posts
    • 20 Thanks
    Moveslikeagger
    Hi all. Just a bit of insight into my personal experience for all the new people started a DMP. I stopped paying my creditors in November and didn’t pay a penny. Told them I was in financial difficulty and that I’d be in touch when I’m ready. Ignored all letters and calls. Now all debts have been passed on to collection agency’s. All debts defaulted, interest stopped and have been paying wescott and moorcroft for the last 2 months without any hassle after send my I&E. Anyone new I’d stop all payments and wait for defaults. This also gives you time to save an emergency fund!
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