DMP Mutual Support Thread - Part 12
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Noting what Sourcrates had said about this being your DMP - which is true, but realistically only if you are 'self managing'. SC might agree to reducing your payment but only if you provide them with a revised I&E which suggests your remaining disposal income suggests so. The way they work out your DMP in terms of 'years' is that they do similar to the method used by others referred to as 'snowballing' - which means that as you clear each debt to an individual creditor the amount you pay stays the same and the payments allocated to the remainder are increased.
Appreciating you are trying to do the right thing - why not consider putting the extra money you have aside in an emergency fund. Just a thought.
Thanks for the info, was thinking that SC might do that.
How difficult is it to go self managed? I had an absolute nightmare setting the DMP up first time round through SC, mainly because NatWest were a total pain about the whole thing.
Thanks again in advance0 -
Thanks for the info, was thinking that SC might do that.
How difficult is it to go self managed? I had an absolute nightmare setting the DMP up first time round through SC, mainly because NatWest were a total pain about the whole thing.
Thanks again in advance
Pretty straightforward. In its simplest form you just tell SC you are going to self-managed, but not until you've got all the payment info you need to continue payments to your creditors. You need the account number/s and the current balance (which you can get from SC, or from the creditor themselves). Then you stop paying SC and set up standing orders (not direct debits) for the same amount and pay them direct. They'll not bat an eyelid -but if any of them do otherwise, just carry on paying regardless and they soon settle. At the end of the day it shoudn't matter to them whether they get that payment from you direct or via SC.
Lots of folks on here have used one of the debt charities to get their DMP up and running and then at different points in their DMP have then taken control and gone self-managed. I'm self-managing after 4+ years with SC. That way you can either allocate payments to your creditors using a similar method to SC, or when you clear each debt just keep the payments to the remainder the same. Only do so if you are happy that your debt free date will be longer than SC calculated - if you're okay with that, then fine. Some folks want to get debt free as soon as possible, others are more than happy to take a slightly longer journey. When you self-manage it's very much up to you.
I'm sure some other 'self-managed' folks will be along to share their experiences (I'm only at the start) - but as I said, after 4+ years in a managed plan I feel more than confident to do it myself now.0 -
Pretty straightforward. In its simplest form you just tell SC you are going to self-managed, but not until you've got all the payment info you need to continue payments to your creditors. You need the account number/s and the current balance (which you can get from SC, or from the creditor themselves). Then you stop paying SC and set up standing orders (not direct debits) for the same amount and pay them direct. They'll not bat an eyelid -but if any of them do otherwise, just carry on paying regardless and they soon settle. At the end of the day it shoudn't matter to them whether they get that payment from you direct or via SC.
Lots of folks on here have used one of the debt charities to get their DMP up and running and then at different points in their DMP have then taken control and gone self-managed. I'm self-managing after 4+ years with SC. That way you can either allocate payments to your creditors using a similar method to SC, or when you clear each debt just keep the payments to the remainder the same. Only do so if you are happy that your debt free date will be longer than SC calculated - if you're okay with that, then fine. Some folks want to get debt free as soon as possible, others are more than happy to take a slightly longer journey. When you self-manage it's very much up to you.
I'm sure some other 'self-managed' folks will be along to share their experiences (I'm only at the start) - but as I said, after 4+ years in a managed plan I feel more than confident to do it myself now.
Thanks very much for the quick reply, it doesnt sound too complicated to go self managed, was thinking it would be more difficult.
Would I need to let my creditors know? as at the moment all correspondence is going to SC
I really just want the flexibility to either make F&F offers or change the amount I pay without having to jump through a ton of hoops, this whole journey has been quite stressful and now I'm feeling more in control than I have been in years
finally beginning to see light at the end of what has been a very dark tunnel
Thanks again for the advice0 -
btoTHeg, I too decided to go self-managed after 4 years with SC, largely for the flexibility. It isn't difficult at all and if I can do it anyone can:rotfl:
There's lots of advice on various websites, templates etc, but I'm in a rush so can't send links just now. Someone else is sure to come along and put you right.
One thing, you'll have to notify your creditors yourself, SC won't do that for you. You need to ask your creditors for their account details so you can set up your standing orders. Apparently the banks' account numbers SC use are not the same as we need when managing things ourselves (or so I understand).
Good Luck:beer:0 -
Newbie to a StepChange DMP here.
I’m in the process of setting it up but where they ask for the account numbers for the credit cards without sounding dumb where do I find that, as when I log in online it just shows the card number?
Also I get paid on the 28th then the majority of my bills go out on the 7th.
I have another bank account which I’m going to use from now on and have requested a replacement debit card and pin as haven’t used it in years....but I go away to the US for two weeks on Tuesday for work so should I start this all now knowing I am going to be away or wait til I’m back and just pay the minimums for another month?? Part of me wants to just get started as I can transfer my wage for this month (as they told me it was too late to change my bank details now) but then I’m worried I’ll be away when my replacement debit card comes etc etc....any ideas?0 -
Newbie to a StepChange DMP here.
I’m in the process of setting it up but where they ask for the account numbers for the credit cards without sounding dumb where do I find that, as when I log in online it just shows the card number?
Also I get paid on the 28th then the majority of my bills go out on the 7th.
I have another bank account which I’m going to use from now on and have requested a replacement debit card and pin as haven’t used it in years....but I go away to the US for two weeks on Tuesday for work so should I start this all now knowing I am going to be away or wait til I’m back and just pay the minimums for another month?? Part of me wants to just get started as I can transfer my wage for this month (as they told me it was too late to change my bank details now) but then I’m worried I’ll be away when my replacement debit card comes etc etc....any ideas?
The account numbers are the 16 digit card numbers across the middle of the card.
Noting will happen in two weeks.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 forumteam@moneysavingexpert.com. 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-letter0 -
Thankyou, so you think I should just get he ball rolling.
I’m taking cash to the US anyway so don’t need my debit card right now and it’ll be here when I get back...0 -
....Would I need to let my creditors know? as at the moment all correspondence is going to SC. I really just want the flexibility to either make F&F offers or change the amount I pay without having to jump through a ton of hoops, this whole journey has been quite stressful and now I'm feeling more in control than I have been in years finally beginning to see light at the end of what has been a very dark tunnel. Thanks again for the advice
I see carbootcrazy has responded and advised I didn't use any sort of template myself (so not sure where these are but am sure others will provide the link/s), I just wrote to them advising that from x date I would be making payments direct and asked for the account details and confirmation of balance outstanding. I then just messaged SC (followed up by a letter) to let them know when my last payment for allocating to creditors would be made. They, in turn, contacted me to confirm that instruction and wished me success on the continuation of my DMP. That's it.
If you've not completed a recent annual I&E review, you might find creditors ask for one - if so, just fill one out using either the SC debt remedy tool, or something similar you'll find on the NEDCAB site and you can manipulate the figures as you wish. My advice would be to continue making the same payment to each as you are now -at least until everything has been transferred over and then you can negotiate with each creditor individually if your circumstances change or if you're in a position to offer those F&Fs. Obviously as you clear each debt it's then up to you whether to increase payment to the remainder or save that bit extra for future F&Fs.
From what I've read on posts by other 'self-managed' peeps is that creditors/DCAs are fairly relaxed about it as long as they are getting paid and are being kept informed. But as I said before - if you go self-managed and find yourself in difficulty with any particular creditor/DCA then there are plenty on here who can offer advice on how to handle them.0 -
Hi everyone! Sent off all my StepChange paperwork this morning and called them as had a few questions but forgot one! should I cancel all my debt direct debits now? The girl at SC suggested it would probably be a few weeks before everything was up and running so it’s left me confused as surely by cancelling the direct debits that would leave me with loads of money?? Or am I being dumb?0
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Hi everyone! Sent off all my StepChange paperwork this morning and called them as had a few questions but forgot one! should I cancel all my debt direct debits now? The girl at SC suggested it would probably be a few weeks before everything was up and running so it’s left me confused as surely by cancelling the direct debits that would leave me with loads of money?? Or am I being dumb?
Yes cancel them all.
You no longer pay them directly do you.
Save your emergency fund as you may need it.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 forumteam@moneysavingexpert.com. 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-letter0
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