DMP Mutual Support Thread - Part 12

Wishihadknown · 27 October 2017 at 9:10AM

Hi there,

I don’t often post - but do often read! An n self managed DMP approx half way with 3 years to go to clear last £20k of debt. All going well so far.

I had 4 accounts with HSBC with agreed DMP payments. They wrote to me about 2 of them being passed to Cabot Financial who also wrote to me advising they had taken these 2 on.

I changed the standing order from hsbc to Cabot. Now Cabot have written to say I don’t have a payment plan which I do as the plan was agreed with hsbc and Cabot have to honour it don’t they?

Also Cabot have written about the other 2 hsbc accounts saying these have also transferred and that I need to stop paying hsbc, but I never got any letters about these 2 from hsbc.

I have written to Cabot about the first 2 saying I do have a plan and that they should honour it but not sure what to do about the other 2 as hsbc have not told me that they have passed them on so don’t feel like I should change the payment.

Any advice?

sourcrates · 27 October 2017 at 9:26AM

Wishihadknown wrote: »

Hi there,

I don’t often post - but do often read! An n self managed DMP approx half way with 3 years to go to clear last £20k of debt. All going well so far.

I had 4 accounts with HSBC with agreed DMP payments. They wrote to me about 2 of them being passed to Cabot Financial who also wrote to me advising they had taken these 2 on.

I changed the standing order from hsbc to Cabot. Now Cabot have written to say I don’t have a payment plan which I do as the plan was agreed with hsbc and Cabot have to honour it don’t they?

Also Cabot have written about the other 2 hsbc accounts saying these have also transferred and that I need to stop paying hsbc, but I never got any letters about these 2 from hsbc.

I have written to Cabot about the first 2 saying I do have a plan and that they should honour it but not sure what to do about the other 2 as hsbc have not told me that they have passed them on so don’t feel like I should change the payment.

Any advice?

Hi,

Cabot will be unaware of any payment plan you previously had.

They will of bought the debt, with no knowledge of the account prior to sale, you will have to agree new terms with them, most likely what you were paying before to HSBC.

Wishihadknown · 27 October 2017 at 12:15PM

Thanks. I have re-checked both the letter from HSBC advising of the change and Cabot introducing themselves and both letters confirm that they will honour the agreed payment plan so I think that is fairly straight forward.

My bigger concern is the two accounts where the original account owner has not advised me of the change of ownership, can I really take the new owner’s word for it?

Suseka97 · 27 October 2017 at 12:24PM

Wishihadknown wrote: »

.... My bigger concern is the two accounts where the original account owner has not advised me of the change of ownership, can I really take the new owner’s word for it?

Why not get in touch with the original creditor. Could be the letter got lost in the post, or Cabot are more on the ball. I can't see why they'd tell you debts had been assigned to them if they haven't -but you never know. I wouldn't do anything until you have confirmation in writing from HSBC.

fatbelly · 27 October 2017 at 2:25PM

Suseka97 wrote: »

Why not get in touch with the original creditor. Could be the letter got lost in the post, or Cabot are more on the ball.

You're probably right. HSBC are currently aiming for the award for most incompetent major creditor. I expect Lloyds to fight back as they have held the title for 20 years.

Wishihadknown · 27 October 2017 at 4:00PM

Yes. Will write back to Cabot and highlight that afaik the account is still with hsbc and in parallel write to hsbc and request confirmation of change of ownership.

I wonder if I should suspend payment while I wait for an answer 😈

2017spark · 28 October 2017 at 10:52AM

Hello all, my DMP has being ticking along with SC since May this year and my debts have reduced by £1600 so far which is obviously great but..... I'm not feeling in control (maybe as sc sort everything) and was thinking of going self managed.
Reasons for this:
Flexibility to over pay/ offer settlement if I can - starting with smallest debt (snowballing)
I had absolutely no emergency fund and struggling with this, so was going to offer token payments for a few months
More control over my situation, I'm not sure the lesson of debt will get through (and it needs to!) if I don't deal with it myself

Some questions:
Does anyone else self manage and would you recommend?
Do I just let SC know I don't wish to carry on with them?
Token payments? Good idea to build up a fund? How long can I get away with? Do creditors accept this usually?

Does anyone have any advice?

Thanks all

sourcrates · 28 October 2017 at 11:37AM

2017spark wrote: »

Some questions:
Does anyone else self manage and would you recommend?
Do I just let SC know I don't wish to carry on with them?
Token payments? Good idea to build up a fund? How long can I get away with? Do creditors accept this usually?

Does anyone have any advice?

Thanks all

Hi Spark,

Lots of people self manage for the reasons you have stated.

It puts control of the situation back with you, instead of a 3rd party.

I will lets others tell you the merits and pitfalls involved, but on the whole its a great idea.

motivated · 28 October 2017 at 11:59AM

2017spark wrote: »

Hello all, my DMP has being ticking along with SC since May this year and my debts have reduced by £1600 so far which is obviously great but..... I'm not feeling in control (maybe as sc sort everything) and was thinking of going self managed.
Reasons for this:
Flexibility to over pay/ offer settlement if I can - starting with smallest debt (snowballing)
I had absolutely no emergency fund and struggling with this, so was going to offer token payments for a few months
More control over my situation, I'm not sure the lesson of debt will get through (and it needs to!) if I don't deal with it myself

Some questions:
Does anyone else self manage and would you recommend?
Do I just let SC know I don't wish to carry on with them?
Token payments? Good idea to build up a fund? How long can I get away with? Do creditors accept this usually?

Does anyone have any advice?

Thanks all

Hi spark

I started off with SC and after only 2 payments I decided to go SM as I felt our payments were too high. I used the NEDCAB site which generated all letters and I&E for me and you can add any information on them too. I was then able to drop to token payments and already I have managed to get BC to default us and backdate defaults to March

. I have also just worked with Wescot who are now managing our Halifax loans. They have accepted our lower offers of payment. I have also contacted MBNA requesting they now default us and also backdate defaults too. No harm in asking.

So far I have found self managing ok, I did have a little wobble along the way but overall it’s been better as I decided on our monthly repayments. I adjusted our I&E accordingly.

The only downside for us was having to deal with creditors yourself but to be honest I’ve come to realise that they have all been very accommodating so far and now I contact them all with no worries. Get me compared to the start of the year

Good luck

2017spark · 28 October 2017 at 12:09PM

Thanks Motivated, that's really helpful
Did you just inform SC you didn't want to carry on?
And token payments, how did that go down with the creditors? (£1?)
How long can you do it for? I was hoping 6 months, but do they accept this?

Thanks!!

DMP Mutual Support Thread - Part 12

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