In debt and home owner?

Iwanttobefree · 12 November 2018 at 11:24PM

DCFC79 wrote: »

Other options available like payplan, National Debtline is another.

I was with Payplan before I changed to Stepchange

They seemed more interested in selling me insurance (and if I remember correctly also gave me the option of using part of the money to buy further things such as TV's etc), I got sick of their constant sales approach, (this was in 2014) which was why I changed to Stepchange.

The final straw with payplan (I have a screen shot of the message I sent them cancelling their services) was when after persuading me to take out insurance for my debts (correct me if I'm wrong, if an unsecured debt is in my name only, and I die, no one else has to pay it anyway) they then mistakenly took out double life insurances causing me hassle with my bank.

But Stepchange couldn't do anything about the creditors contacting me, said I had to contact those that wouldn't freeze the interest myself etc.

This site advised me to do my own DMP and it was the best decision I ever made.

I have had great advice from one of the people at National Debt line in the past.

It's not that Stepchange were bad as such, it's just that I contacted them as I was stressed to breaking point about the constant hassling from creditors, and while they appeared helpful in the first instance, I ended up having to do so much myself, that for me personally, they were no good at all.

Doing it myself, I could pay creditors at different points during the month (wife is self employed and this makes it really handy), and following advice from this site, it's no harder really than the initial stepchange/payplan things.

Stepchange also weren't happy about my food bill even though it was due to health reasons, not one of my creditors has even mentioned it since doing it myself and using the same amount.

HairyHandofDartmoor · 14 November 2018 at 8:22PM

You've had some good advice here Jim. Definitely DO NOT go bankrupt. Set up a DMP with or without Stepchange and pay minimal amounts until you can save up for Full and Final offers. The DMP support thread will give you moral and practical support along the way.

I paid my creditors £1 each per month for two years until I made Full and Final offers, and going after my house (which has considerable equity) was never mentioned.

There is no shame in getting into financial difficulty, that's why we are all on the Debt Free Wannabe Board. Good luck.

Deep_In_Debt · 14 November 2018 at 8:57PM

I was with Stepchange for a number of years. They were ok with me. I was not impressed with Payplan as they tried to sell me all sorts of extras.

I had a lot of equity in my house at the time as I had a very small mortgage (shocking that my unsecured debts and repayments on my unsecured debts were more than my mortgage) and my creditors never once tried to go for the house as long as I continued to pay what I could afford and had regular reviews.

I found National Debtline very helpful and full of good advice when I needed them.

Good luck.

BadDebtor · 15 November 2018 at 11:52AM

NowInspired wrote: »

Step Change also suggested bankruptcy to us. I said we would not go down that route and that we would do our own DMP. They agreed to help us set that up but still said at the end of the conversation that they thought that one of the banks would possibly try and force us into bankruptcy but that they probably wouldn't as we didn't have enough equity in the house. That parting comment really upset and scared me and I wished I had never rung them. They may be helpful to some people but I found them to be just the opposite and I was more stressed than before I had rung them.

At that point I decided we would self manage and that is what we are doing.

Iwanttobefree wrote: »

Personally I found stepchange to be awful.

I'm glad I took this boards advice and started my own DMP.

I also found StepChange to be awful.

The woman was rude and judgemental, just what you don't need, I thought she might be having a bad day so I spoke to her a week later and she was the same.

She tried to blame me for things that were totally beyond my control.

She not only put me off StepChange but all of these so called charities that rely on commission.

She called me back a few days later like a salesman on commission trying to get her figures in before the end of the month, I told her we were done and not to call me again,

fatbelly · 15 November 2018 at 7:41PM

I once met the guy who founded stepchange and liked him a lot. I don't think he is involved now and the whole ethos does seem to have changed.

You should complain.

https://www.stepchange.org/Legal/Complaintsprocess.aspx

Iwanttobefree · 15 November 2018 at 10:58PM

BadDebtor wrote: »

She not only put me off StepChange but all of these so called charities that rely on commission.

I watched a program about Christians against poverty.

Turns out it is funded by the creditors, I think the guy said the minimum they get is 10% of all money collected.

While they have to be funded from somewhere, that seems like a conflict of interest to me.

For instance, someone owing 10K and paying it off £300 a month then want to make a 50% offer, it's in Christians against poverty's interest to put them off that idea and keep getting their 10% for the full amount owed.

In debt and home owner?

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