DMP mutual support thread part 13 !!

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  • sourcrates
    sourcrates Posts: 28,647
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    Mcfry80 wrote: »

    Ideally we would need to cancel our dmp payments for 6 months to be able to buy a new car and have a tiny bit for emergencies but am really worried that our creditors won't accept this and start the interest up again.

    Sorry for the long post and any advise would be much appreciated.


    Hi,


    Ideally you want to be doing this with your creditors and stepchanges agreement, but if that is not possible, then you should just do what you have to do, and deal with the fallout at a later date.


    Hopefully they will be sympathetic to you, but if not, just do it anyway.
    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 [email protected]. 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
  • Thank you sourcrates. So I should contact stepchange and explain the situation. If they don't agree would I then have to go self managed
  • sourcrates
    sourcrates Posts: 28,647
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    Mcfry80 wrote: »
    Thank you sourcrates. So I should contact stepchange and explain the situation. If they don't agree would I then have to go self managed


    Either that or start again with them or payplan maybe.


    I find myself in a similar situation at present, although i no longer have debt, i refuse to use credit any more. I need a car as well, as mine is on its last legs, so saving my only option.
    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 [email protected]. 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
  • Hi I’m new today as I’m at the end of my tether with all the worry but also know I can’t keep burying my head in the sand. I’m sorry if I have gate crashed someone’s else’s post- I’m a middle aged lady with not much computer experience and don’t know how to start my own post.

    So I’m single no kids no mortgage no job due to disability and am £30 k in debt on credit cards. I was shifting it regularly to interest free cards for years but now my rating is so bad I can’t get anymore cards. I have now been paying £200 a month on interest on just two cards. The other six interest free periods run out in next couple months. I can make next months minimum repayments but then that’s it.

    I don’t know if I should get an IVA or a DMP? I don’t much about it all but am terrified I will lose my house and selling it isn’t really an option. Are any plans 100 pc safe for your house or no?

    My current account has now stopped my £700 overdraft so I’m in deep trouble.

    Please any advice gratefully received. Many thanks
  • Hi I’m new today as I’m at the end of my tether with all the worry but also know I can’t keep burying my head in the sand. I’m sorry if I have gate crashed someone’s else’s post- I’m a middle aged lady with not much computer experience and don’t know how to start my own post.

    So I’m single no kids no mortgage no job due to disability and am £30 k in debt on credit cards. I was shifting it regularly to interest free cards for years but now my rating is so bad I can’t get anymore cards. I have now been paying £200 a month on interest on just two cards. The other six interest free periods run out in next couple months. I can make next months minimum repayments but then that’s it.

    I don’t know if I should get an IVA or a DMP? I don’t much about it all but am terrified I will lose my house and selling it isn’t really an option. Are any plans 100 pc safe for your house or no?

    My current account has now stopped my £700 overdraft so I’m in deep trouble...
    Hi and welcome to the forum :)

    First, you need to start your own thread. :)
    • Go to the Debt-Free Wannabe forum index
    • Then left-click on the blue New Thread button

    Second, when you post, please can you in include a Statement of Affairs (or SOA). You can find the SOA form by clicking on the link below:
    http://www.stoozing.com/calculator/soa.php

    When you complete the form, please could you post it up?
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    :smiley:
  • Lmrcpr
    Lmrcpr Posts: 18 Forumite
    Hi,
    I started my dmp in November. 2 of the credit card company's have agreed to stop interest and will both default this month. I hadn't had any response from a loan and from my overdraft and other credit card.

    The bank the overdraft with have wiit tends to me this week saying I have asked for a new account and they have changed the account and put the agreed overdraft to 0. Is this normal? It seams only worded that it says i asked for a new account and dosnt mention the dmp or payment problems. Does that seam normal?
    Thanks
  • Suseka97
    Suseka97 Posts: 1,562
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    Lmrcpr wrote: »
    Hi,
    I started my dmp in November. 2 of the credit card company's have agreed to stop interest and will both default this month. I hadn't had any response from a loan and from my overdraft and other credit card.
    The bank the overdraft with have wiit tends to me this week saying I have asked for a new account and they have changed the account and put the agreed overdraft to 0. Is this normal? It seams only worded that it says i asked for a new account and dosnt mention the dmp or payment problems. Does that seam normal?
    Thanks

    Hello.
    I'm not entirely sure I understand what you are querying - is it that your current bank which has an overdraft and presumably is where the loan is too, has closed your account and reopened another for you? If so, that does sound a bit odd.
    The advice is always to set up a basic bank account with an institution that has no financial connections with any of your debts.
  • This forum is beyond price in the amount and value, of advice and support available. I have read so much in the last few weeks, and am now about to jump fully into DMP land. I jiggled the Debt Remedy tool on the SC website until my budget looked more manageable, though was shocked that allowing more "slack" increased length of DMP by two years. But I am mindful of the advice given here on that subject. I have my new Nationwide account up and running (with no overdraft!) and my salary should be paid into that at the end of February. Cancelled the DDs for the debts, though the first is not due until 17/02. I am in the process today of giving the new DD details for the mortgage, utilities and council tax and any of the other things like tv licensing. I am conscious of the advice to set up an EF so I guess I hold off actually asking Step Change for the DMP pack just yet? I intend starting the DMP payments April or May. Just about to look for these holding letters on the NEDCAB site, but I noticed this on my SC Action Plan.

    "Pay something towards your debts and any priority arrears you have if a payment is due before the DMP starts. It doesn’t take long to set up a DMP but pay what you can afford, even if this is only a very small amount."

    This has got me confused - I intended writing to the creditors, explaining that I was seeking advice from SC to setting up a DMP and would be able to begin payments in April/May. Or something to that effect. But I wasn't going to pay anything until the DMP starts.

    Advice please?
    Woke up to reality 13/01/19
    4 creditors - £18170 :eek:
  • Suseka97
    Suseka97 Posts: 1,562
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    ........ I jiggled the Debt Remedy tool on the SC website until my budget looked more manageable, though was shocked that allowing more "slack" increased length of DMP by two years. But I am mindful of the advice given here on that subject...... I am conscious of the advice to set up an EF so I guess I hold off actually asking Step Change for the DMP pack just yet? I intend starting the DMP payments April or May. Just about to look for these holding letters on the NEDCAB site, but I noticed this on my SC Action Plan.
    "Pay something towards your debts and any priority arrears you have if a payment is due before the DMP starts. It doesn’t take long to set up a DMP but pay what you can afford, even if this is only a very small amount."
    This has got me confused - I intended writing to the creditors, explaining that I was seeking advice from SC to setting up a DMP and would be able to begin payments in April/May. Or something to that effect. But I wasn't going to pay anything until the DMP starts.
    Advice please?

    Good to hear you are on track.
    SC will naturally want you to get things up and running quickly and of course they will encourage you to make payments, whatever the amount, until its done - but as you will already have read we tend to advise new DMPers to get that EF sorted before launching in. So do as you plan, write to your creditors with the SC reference and simply say you are working on a resolution to your financial issues and that you expect to be able to commence payments via a DMP in x month (you choose). The main thing is to stay in touch with creditors so they know what's going on, which those letters will do for you.
    Also good to read that you've given yourself some slack in your budget so you're not setting yourself up for a fail at the outset, or making your DMP journey a pretty miserable one :)
  • Queen_of_Swords
    Queen_of_Swords Posts: 15
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    edited 4 February 2019 at 2:54PM
    Thank you Suseka97 for your advice. :T
    I will do what I had planned - I believe that part of my problem, and probably is for a lot of us newbies, is that there are such feelings of guilt and shame over debt. And of course not paying anything for a couple of months seems as though I am stealing in some way. :( Logically I accept that this is what I must do - an EF is essential - and the banks won't go bust because they don't get my minimum payments! They have already made plenty from the interest! But nobody twisted my arm to use the increased credit.... But, onwards and upwards. Someone else said something about pulling up their "big girl pants" and that's what I am doing. It is good to feel as though I am getting back in control. In fact I hadn't realised just how much I was in denial and hiding away from the reality of it all until my first post here a couple of weeks ago. And after everything it is just money... nobody has died.... it can and will be paid back.
    Woke up to reality 13/01/19
    4 creditors - £18170 :eek:
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