DMP Mutual Support Thread - Part 12

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  • sourcrates
    sourcrates Posts: 28,717
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    edited 27 August 2017 at 5:25PM
    sile001 wrote: »
    Thanks

    I'll probably ask SC to do it as I suspect they're in a better position to do so

    What makes you think this ?

    Stepchange help over 500,000 people every year.

    Do you really think they have the time and manpower to negotiate the very best settlement deals that would be in your best interests ?

    I`ll tell you for a fact it will be one letter, with one offer, how much will you settle the account for, there wont be any negotiation.

    Only you have your best interests at heart, you should always do this yourself.

    Use this template letter, and get any offer confirmed in writing, agreeing to the text in the letter, before you part with any money :

    https://www.nationaldebtline.org/EW/sampleletters/Pages/Full-and-final-settlement-offers-%28sole-name%29.aspx
    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-letter
  • kram
    kram Posts: 136 Forumite
    edited 27 August 2017 at 5:33PM
    Hi everyone

    I am new to this forum and have been reading back over the last few months posts. It is was reassuring there are so many people in my shoes.
    I am currently on a DMP with SC. I started this back in march when I realised I couldn't make the minimum payments and was living in credit the whole time. I have kept this from my partner but have confided in my mum. I
    have made 5 payments to cover 7 creditors. These are HSBC, a loan, CC and over draft. The largest amount of around £12000
    Also a CC with barclaycard and Aqua now Link, around £5000
    Then smaller amounts with Very now and Next pay both around £600 each.
    After reading this forum I have realised I have maybe done it all wrong in that I jumped in to huge monthly payments with SC to pay it off quickly which I am struggling to maintain. I have no Emergency funds and the HSBC and barclaycard have still not defaulted. Is this because I have still been substantial payments?
    I am thinking of going self managed now as I just have no flexibility and no money to do anything. I work full time and do lots of overtime but still struggling with the huge SC payments of £1000.
    I am thinking of paying Link, very and next each month of about £50 each.
    What you you all recommend I do with HSBC and BC? Send them a letter informing them I am stopping with SC and self managing and Stop paying and wait for them to default or send a £1 token payment?

    I would have have known you can self manage with all your insiping posts. I'll be very grateful for your suggestions.
    Thanks

    It would be worth going onto the anonymous sc debt remedy tool to see if you could get more wriggle room into your budget by maxing out some things, then you could give them a ring & say you are struggling with the current plan.

    Change it over the same as the anonymous one & your away.

    Got to be worth 30 mins on their website & phone call surely.

    Good luck.

    K
  • January2015
    January2015 Posts: 2,369
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    sile001 wrote: »
    Hi

    I'm in the fortunate (and unexpected) position of being able to clear my DMP with StepChange. It's currently at c£12k. Clearing it would leave me with a surplus of around £10k.

    What I was wondering - would it be worth asking SC to negotiate a F & F settlement with my creditors (6 in all)?

    Any thoughts?

    Thanks

    Negotiate yourself. Do not tell creditors how much you have - tell them you have far less. If you owe £12k tell them a relative will give you £5k if your creditors will accept this as full and final settlement. If they accept - great stuff.... if not you have room to negotiate up but always for less than the £12k you owe :)

    SC won't play the game this way and it will cost you more of your money if they do it because they will accept first offers.
    DFW Nerd No. 1484 LBM 07/01/15 Debt was £95k :eek: Now debt free and happy :j
  • January2015
    January2015 Posts: 2,369
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    Sazzie23 wrote: »
    It's my birthday weekend, I've been out every night (not spending loads) and I'm loving it, sorry to anyone having a tough time, financially or otherwise. Hang on in there, it can get better.

    So much happier than last year.

    Happy birthday Sazzie. So glad things are looking brighter for you. I remember you having a really tough time in 2015 and you've literally pulled yourself through each day. You are amazing:T

    Have a great weekend :)
    DFW Nerd No. 1484 LBM 07/01/15 Debt was £95k :eek: Now debt free and happy :j
  • sile001
    sile001 Posts: 94
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    Negotiate yourself. Do not tell creditors how much you have - tell them you have far less. If you owe £12k tell them a relative will give you £5k if your creditors will accept this as full and final settlement. If they accept - great stuff.... if not you have room to negotiate up but always for less than the £12k you owe :)

    SC won't play the game this way and it will cost you more of your money if they do it because they will accept first offers.

    Thank you for your explanation - I'll try it. The only thing is, two creditors are connected with my bank
    Debt-Free as of 12th September 2017

    £[STRIKE]12,000[/STRIKE] > £0

    :beer::j
  • sourcrates
    sourcrates Posts: 28,717
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    sile001 wrote: »
    Thank you for your explanation - I'll try it. The only thing is, two creditors are connected with my bank

    Open negoatiations before you receive the money from your relative.

    And this is another important aspect you should be aware of.

    The banks have what's called the "right of set of", so if they suddenly see 10 grand in your account, dont be surprised if most of it disappears, as they can quite legally take the full amount you owe them from your accounts.

    First rule of debt management is never ever bank where you have debts.
    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-letter
  • vaper
    vaper Posts: 105 Forumite
    Open a new bank account immediately!
    Well, after the bank Holiday at least, and do not have that money paid in your account you have now.
    Don't put menthol vape juice in your eyes!!!
  • Morning. I have been in my DMP since July and made my first payments on August. All my banks have been very helpful, except for nationwide who I had my main current account with. They have been rather unhelpful!
    I'm getting so many calls from them. Can anyone suggest a letter template I can use to send asking for everything to be in writing and to stop the calls? They call me at like 8:50 pm! I asked everything to be in writing in my email to them but it is my credit card they are calling for rather than my loan.
  • January2015
    January2015 Posts: 2,369
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    Buzzybum wrote: »
    Morning. I have been in my DMP since July and made my first payments on August. All my banks have been very helpful, except for nationwide who I had my main current account with. They have been rather unhelpful!
    I'm getting so many calls from them. Can anyone suggest a letter template I can use to send asking for everything to be in writing and to stop the calls? They call me at like 8:50 pm! I asked everything to be in writing in my email to them but it is my credit card they are calling for rather than my loan.


    Hi

    Example wording for letter below....
    As you know, Stepchange have been supporting me to deal with my financial difficulties and I am now pleased that with their support and guidance I have a manageable debt management plan in place which will enable me to clear my debts.

    Please ensure all communication regarding this account if via written letter only. I do not give permission for you to contact me by telephone. I will always respond promptly to any letters received. I will contact you immediately if there is any change in our circumstances.

    Your patience and co-operation in this matter is greatly appreciated.

    Write to both bank and credit card departments. They have to honour this request as long as you keep in contact.
    DFW Nerd No. 1484 LBM 07/01/15 Debt was £95k :eek: Now debt free and happy :j
  • sourcrates
    sourcrates Posts: 28,717
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    Buzzybum wrote: »
    Can anyone suggest a letter template I can use to send asking for everything to be in writing and to stop the calls? They call me at like 8:50 pm! I asked everything to be in writing in my email to them but it is my credit card they are calling for rather than my loan.

    Template above is good to send.

    You will find, that they most likely know about the agreement you have in place, the call handler just dosent check the notes beforehand, so your number is still on the auto-dialler.

    Cant you block numbers on your handset/landline ?
    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-letter
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