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  • FIRST POST
    • sourcrates
    • By sourcrates 26th Mar 17, 12:20 PM
    • 14,858Posts
    • 13,945Thanks
    sourcrates
    DMP Mutual Support Thread - Part 12
    • #1
    • 26th Mar 17, 12:20 PM
    DMP Mutual Support Thread - Part 12 26th Mar 17 at 12:20 PM
    Welcome to the DMP mutual support thread Part 12 !!

    Here you can find help in starting and running your DMP, self managed, Stepchange, Payplan and any other DMP all welcome here, but we do encourage you to use a free service, not one you pay for.

    There is help on getting interest and charges stopped, how to start with an emergency fund, defaults, token payments and lots more.

    If you are in a DMP or thinking of one, this is the place to be. We are non judgmental and all questions are welcome.

    Again the old thread was getting a tad long, so time for a new one.

    The old thread can be found here :

    http://forums.moneysavingexpert.com/showthread.php?t=5285089

    Once again, i think the original "newbie" post by sazzie23 still rings true.
    Last edited by sourcrates; 26-03-2017 at 12:50 PM.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see : http://legalbeagles.info/
Page 229
    • Scammie
    • By Scammie 10th Aug 18, 10:30 AM
    • 14 Posts
    • 3 Thanks
    Scammie
    Halifax refused my SC budget
    I have hit a wobble and would appreciate your advice. SC wrote to tell me that Halifax refused my budget. When I rang them the girl said that everything on the budget looked as they would expect, except the credit union payment which comes straight out of my husbands pay and £100 for my sons school fees. My son goes to a grammar school and these fees are not voluntary.

    SC are fine with both these payments and all my other creditors have accepted the budget. I am due to start paying in October, having taken the first four months to get an EF saved. I am still paying token £10 to Halifax and other creditors.

    Halifax have now texted me asking me to call them. SC have said to just explain re the the fact that my husbands credit union is from his work and we my son in case they think itís a private school . Has anyone else had experience of this? I would prefer to write to Halifax but if Iím going to ring would like to be prepared.
    • sourcrates
    • By sourcrates 10th Aug 18, 1:03 PM
    • 14,858 Posts
    • 13,945 Thanks
    sourcrates
    I have hit a wobble and would appreciate your advice. SC wrote to tell me that Halifax refused my budget. When I rang them the girl said that everything on the budget looked as they would expect, except the credit union payment which comes straight out of my husbands pay and £100 for my sons school fees. My son goes to a grammar school and these fees are not voluntary.

    SC are fine with both these payments and all my other creditors have accepted the budget. I am due to start paying in October, having taken the first four months to get an EF saved. I am still paying token £10 to Halifax and other creditors.

    Halifax have now texted me asking me to call them. SC have said to just explain re the the fact that my husbands credit union is from his work and we my son in case they think it!!!8217;s a private school . Has anyone else had experience of this? I would prefer to write to Halifax but if I!!!8217;m going to ring would like to be prepared.
    Originally posted by Scammie

    Hi,


    Ignore the Halifax, continue to make your stepchange payments.


    You can write and explain by all means.

    The Halifax will do one of three things, either accept eventually, pass the debt to a DCA to mange, or sell the debt on,

    Either way, it makes no difference to you, keep making payments, ignore there rhetoric.
    Last edited by sourcrates; 10-08-2018 at 1:45 PM.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see : http://legalbeagles.info/
    • jubilee14
    • By jubilee14 10th Aug 18, 1:33 PM
    • 285 Posts
    • 860 Thanks
    jubilee14
    As per Sourcrates just keep doing what your doing. i had similar issue with HBOS loan, but not with Hfx cc. They didnt recognise account no, didnt accept etc etc. but payment went to them every month. SC said do nothing different. In the end after about 6 months of them applying interest they defaulted me and payments continued with no interest applied. They turned out to be the first to default me. Hfx cc did a year later, my Hfx OD did another year later and BC never did. However i check my credit file via noddle /clear score etc to make sure no interest is applied to BC.

    Dont fret it will turn out ok
    LBM Sept 2012
    started DMP 1.11.12
    Debt £37012/£3907 DFD Oct 2019 about March 2019
    • LynseyB10
    • By LynseyB10 10th Aug 18, 3:36 PM
    • 2 Posts
    • 0 Thanks
    LynseyB10
    Hi everyone,

    i am really new to this but i would like some information if possible! i am on a DMP with SC which first payment comes out 1st September - they say it will take 3.5 years for me to be debt free. I have never missed a payment in my life and my repayment each month to SC is £770, does anyone know if the payment is just short off minimum payment that i wont be defaulted? ideally, i would rather be defaulted at the start as i know it stays on your record for 6 years. i still feel ultra stressed out about this all and i feel like it keeps me up at night and my anxiety is literally through the roof!

    Any advice, good or bad i am here ready to listen.

    thank you all
    • sourcrates
    • By sourcrates 10th Aug 18, 4:18 PM
    • 14,858 Posts
    • 13,945 Thanks
    sourcrates
    Hi everyone,

    i am really new to this but i would like some information if possible! i am on a DMP with SC which first payment comes out 1st September - they say it will take 3.5 years for me to be debt free. I have never missed a payment in my life and my repayment each month to SC is £770, does anyone know if the payment is just short off minimum payment that i wont be defaulted? ideally, i would rather be defaulted at the start as i know it stays on your record for 6 years. i still feel ultra stressed out about this all and i feel like it keeps me up at night and my anxiety is literally through the roof!

    Any advice, good or bad i am here ready to listen.

    thank you all
    Originally posted by LynseyB10

    Hi,


    Its impossible for us to answer that as only you know how much your debts are in total, and what your minimum payments to your debts were.


    No need to feel stressed, the DMP is just a remedy to your problem, ideally you should of researched the details of this plan, prior to signing up for it, if your payments are close to the contracted minimum, then interest will not be stopped, this needs clarification from stepchange as soon as possible.
    Last edited by sourcrates; 10-08-2018 at 4:21 PM.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see : http://legalbeagles.info/
    • Onecanhope
    • By Onecanhope 10th Aug 18, 7:05 PM
    • 4 Posts
    • 0 Thanks
    Onecanhope
    Hello all

    Just a quick query that I am hoping one of you amazing people can help me with. I start my DMP with step change next month (its when my first payment is due) StepChange has accidentally told all my creditors they will receive their first payment in August. An error on their part but they have told me to ring all of my creditors and advise them there was a mistake and that the correct paperwork is being sent out to them. In the mean time they have told me to offer a £1 token payment to them all.

    Anyone had anything like this happen to them? I only know 4 of my creditors have accepted as I have not heard from the rest and not sure if they have accepted my plan or what their reaction will be.

    My other question, one of my creditors have not defaulted my account but they have sent me a letter saying that I have two options. Continue with my repayment plan through StepChange or pay half the amount for a longer period. Both options they have agreed to freeze interest on but they said if I go with the lower payments through them they will default my account now. Cant find anything like this on the thread so thinking Its a catch?

    Thank you
    Last edited by Onecanhope; 10-08-2018 at 7:21 PM.
    • Suseka97
    • By Suseka97 11th Aug 18, 8:09 AM
    • 365 Posts
    • 462 Thanks
    Suseka97
    Hello all
    Just a quick query that I am hoping one of you amazing people can help me with. I start my DMP with step change next month (its when my first payment is due) StepChange has accidentally told all my creditors they will receive their first payment in August. An error on their part but they have told me to ring all of my creditors and advise them there was a mistake and that the correct paperwork is being sent out to them. In the mean time they have told me to offer a £1 token payment to them all.

    My other question, one of my creditors have not defaulted my account but they have sent me a letter saying that I have two options. Continue with my repayment plan through StepChange or pay half the amount for a longer period. Both options they have agreed to freeze interest on but they said if I go with the lower payments through them they will default my account now. Cant find anything like this on the thread so thinking Its a catch?
    Thank you
    Originally posted by Onecanhope

    If SC made a mistake then I really think it should be them letting creditors know, but you can simply write (not call) them and advise when the first payment will be made. Don't bother with token payments, they don't really want them and it's only one month.

    I'm not sure I quite follow your second question - are they saying pay half upfront? Anyway, I'd just pay them via the DMP route once its up and running. SC won't want (or allow) you to vary the payment plan just for one creditor.
    LBM Apr13: 14 Creditors / £85k+ owed / £11k outstanding (all currently UE)
    • Onecanhope
    • By Onecanhope 11th Aug 18, 12:01 PM
    • 4 Posts
    • 0 Thanks
    Onecanhope
    If SC made a mistake then I really think it should be them letting creditors know, but you can simply write (not call) them and advise when the first payment will be made. Don't bother with token payments, they don't really want them and it's only one month.

    I'm not sure I quite follow your second question - are they saying pay half upfront? Anyway, I'd just pay them via the DMP route once its up and running. SC won't want (or allow) you to vary the payment plan just for one creditor.
    Originally posted by Suseka97

    Thanks for the reply. Yes step change made the mistake.

    So StepChange has offered capital one the repayment of £45 a month however capital have sent a letter offering me to lower my payments to £22 a month and that if I do they will agree to default my account. Weird one.

    My good news is that the one account I didnít think I would get defaulted was BarclayCard because itís my biggest creditor and StepChange had offered them a payment that was only £10 lower than my normal monthly payments. I had been considering if self manage was a better route due to this but they have sent me a letter saying if I cant pay by October they will stop interest and default my account. small win but I will take it
    Last edited by Onecanhope; 11-08-2018 at 12:54 PM.
    • Suseka97
    • By Suseka97 11th Aug 18, 5:08 PM
    • 365 Posts
    • 462 Thanks
    Suseka97
    .....
    So StepChange has offered capital one the repayment of £45 a month however capital have sent a letter offering me to lower my payments to £22 a month and that if I do they will agree to default my account. Weird one.
    Originally posted by Onecanhope
    That's interesting and weird for sure. I think, from what I've been reading of late, that many of the mainstream lenders are being more sympathetic to the plight of people in financial difficulty and it's all about 'affordability these days'. Also maybe the £45 per month is too high to meet their 'default' criteria -hence the lower £s proposal. The problem you may face is that SC won't lower the payment regardless of whether that would get you the default you want. I recall, many moons ago, we asked SC to lower payments to Barclaycard because whilst initialling they'd stopped charging interest, eventually as we knocked off creditors one by one, the BC payment took us over the minimum payment. So they basically slapped us with interest, albeit not at the standard rate. SC wouldn't budge on lowering the payment to bring us under the minimums again. Maybe that's changed though, so worth speaking to them about it.
    LBM Apr13: 14 Creditors / £85k+ owed / £11k outstanding (all currently UE)
    • Summer12
    • By Summer12 11th Aug 18, 9:48 PM
    • 89 Posts
    • 47 Thanks
    Summer12
    Hi

    It has been awhile since I posted things are ticking along, last full payments in March this year just started token payments for 6 months then I&E offers to start. One creditor accepted it fine (Barclaycard) two creditors not happy with tokens as I&E shows can afford more (despite no emergency fund or savings) and Barclays Bank (Loan) being a right pain. They have confirmed receipt of my I&E and offers of payment. Then wrote and said they acknowledge I had requested more time to sort my I&E. I replied reiterating not the case and offers of payments just need to know where/how they want the payments. And today received a letter asking for my I&E. The letters do not appear to be crossing in the post, so not sure if it is incompetence or some sort of tactic but it is starting to annoy me now. Its a large debt (23k) and enforceable so Im trying to do the right thing but they dont seem to be listening. Anyone else had this issue with them?
    • DMP_Tiger
    • By DMP_Tiger 11th Aug 18, 10:27 PM
    • 118 Posts
    • 202 Thanks
    DMP_Tiger
    Sorry don't know how to quote on my phone but I have a loan with Barclays with a £16k balance.

    They haven't acknowledged any of my letters and they phone me nearly every day despite me asking them to only contact me in writing. I don't answer the calls so they leave a message asking me to call them....

    Maybe we can swap notes on Barclays as we go along....
    Last edited by DMP_Tiger; 12-08-2018 at 9:19 AM.
    August 2018: Secured Debt £70,003 Unsecured Debt (DMP) £34,614 Total £104,617 DFD: March 2031
    • Summer12
    • By Summer12 11th Aug 18, 10:39 PM
    • 89 Posts
    • 47 Thanks
    Summer12
    Hi dmp Tiger

    Should just be a case of hitting the plus then the multi quote button but mine doesnt seem to want to work tonight either!

    Well perhaps I should feel special then as at least I get a reply even if it doesnt have any bearing to my letters!!
    • Summer12
    • By Summer12 11th Aug 18, 10:42 PM
    • 89 Posts
    • 47 Thanks
    Summer12
    Sorry don't know how to quote on my phone but I have a loan with Barclays with a £16k balance.

    They haven't acknowledged any of my letters and they phone me nearly every day despite me asking them to only contact me in writing. I do t answer the calls so they leave a message asking me to call them....

    Maybe we can swap notes on Barclays as we go along....
    Originally posted by DMP_Tiger
    Now itís working!..... my voicemail is full of Barclays messages left by very bored sounding people. I have also asked for communication in writing only so now my mobile is permanently in do not disturb mode.
    • Suseka97
    • By Suseka97 12th Aug 18, 8:21 AM
    • 365 Posts
    • 462 Thanks
    Suseka97
    Now itís working!..... my voicemail is full of Barclays messages left by very bored sounding people. I have also asked for communication in writing only so now my mobile is permanently in do not disturb mode.
    Originally posted by Summer12
    I was being pestered (bombarded) with calls from a DCA - I ignored them for a while then in the end I picked up the call, refused to answer their security questions and told them if they didn't remove my number from their records I would report them to the Information Commissioners Office and from that point onwards all calls stopped. Worth a shot, maybe!
    LBM Apr13: 14 Creditors / £85k+ owed / £11k outstanding (all currently UE)
    • nbdrums1
    • By nbdrums1 12th Aug 18, 11:19 AM
    • 2 Posts
    • 0 Thanks
    nbdrums1
    Groan... been there and done that

    I kick myself some days when I think back to the moment we signed on the dotted line for a secured loan to consolidate (which is, effectively, the same as re-mortgaging ) Had we not done that, some 10 years ago - not only would we have been debt free many moons ago, but would probably be close to being mortgage free

    So - lesson to anyone even considering that option - DONT

    I imagine back then DMPs were not really known about, or even existed - and I certainly never even thought about googling anything to do with debt-management. Fast forward - it's great these options now exist and the information is more widely available.
    Originally posted by Suseka97
    Now you've had your LBM (Lightbulb Moment) as we like to call it - congratulations

    I'm not versed in how DMPs work for those who are self-employed - but I don't think its that much different from those (like me) who are not. I imagine the only 'complicated bit', if there is one -will be working out your income if it has a tendency to fluctuate depending on your workstreams.

    With that said, no-one will be coming after you 'big time' because you're self-employed -but to put your mind at rest, why not call one of the 'free' debt charities. StepChange or Payplan are the two most used by folks on here.

    That aside - stop paying your non-priority debts now. Your priority has to be keeping a roof over your head and food on the table. I could say a lot more about the process -but I really think it'll help you to call and speak with someone who can reassure you verbally and then you can come back on here for more advice.

    So, go grab a coffee and make that call
    Originally posted by Suseka97
    Many thanks for the support, I am going to get on the phone to step change or payplan first thing in the morning, I have had to stop my direct debits for the cards as there wonít be enough money in my bank account (even with overdraft) to cover them.

    My MBNA is due on Tuesday, if it doesnít get taken will this affect my chances of them accepting the DMP?

    Many thanks
    • Willing2Learn
    • By Willing2Learn 12th Aug 18, 11:27 AM
    • 713 Posts
    • 557 Thanks
    Willing2Learn
    ...My MBNA is due on Tuesday, if it doesn't get taken will this affect my chances of them accepting the DMP?...
    Originally posted by nbdrums1
    Cancel the DD via internet banking as MBNA is not a priority. (There is a chance the DD will still go out due to short notice, but it is worth the try). Contact StepChange or PayPlan on Monday morning so that MBNA is incorporated in your resolution. Good luck!!
    Last edited by Willing2Learn; 12-08-2018 at 11:33 AM.
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    • JohnnyRotten
    • By JohnnyRotten 12th Aug 18, 12:15 PM
    • 1 Posts
    • 0 Thanks
    JohnnyRotten
    Hereís to a fresh start!
    Phew... after a week of reading this forum Iíve just reached the end of all 229 pages!

    Thanks so much to everyone thatís contributed. Itís an invaluable resource and I feel Iíve learnt so much from it.

    I owe around £52k in unsecured debt and have decided to manage it with a DMP. Itís been a struggle to get to this decision as I own a house with equity and could have remortgaged but have spent 20 years juggling credit, switching cards and remortgaging - for me itís just not a solution so I think itís time to take a different approach.

    Like many on here I have the feelings of failure, embarrassment and the like but Iíve tried to reframe this as Ďthe only mistake would be to keep doing the same thing thatís failed time after timeí. I also must have paid 10s of thousands in interest over the years so itís time to redress the balance.

    Again, like many others, Iíve never missed a payment and have a good credit history, other than over-commitment, and this worries me but I keep reminding myself that it doesnít matter if the whole point is to live debt free! Iím actually excited to get started.

    So to the plan:

    - Iíve opened a Ďcleaní bank account
    - Cancelled DDs for creditors and written to them for a 30 day pause
    - Agreed a realistic budget with SC which Iíve revised a number of times (theyíve been great)
    - Stocked up on essentials to ease the first month or so!
    - Will write to creditors again after 30 days advising of DMP to start in November, this gives me a couple of months to save an emergency fund. I plan to explain that this is a long-term plan (6-7 years) and request a default as soon as possible.

    Iíve looked at the NEDCAB site and it seems really straightforward to set up a self managed DMP but I think Iíd prefer the support of SC for the first six month before switching to SM. Iíll need to do this as I suspect that some of the SC payments will cover the minimum on some of my 0% CCs so they wonít default until I drop the payment amount. Iíll also issue CCAs then, I doubt Iíll have much luck there but one CC is from 2007.

    Iíve tried to absorb all of the great advice here but have I missed anything?! Thanks again if youíve reached the end of this long post...
    • Summer12
    • By Summer12 12th Aug 18, 1:10 PM
    • 89 Posts
    • 47 Thanks
    Summer12
    Phew... after a week of reading this forum Iíve just reached the end of all 229 pages!

    Thanks so much to everyone thatís contributed. Itís an invaluable resource and I feel Iíve learnt so much from it.

    I owe around £52k in unsecured debt and have decided to manage it with a DMP. Itís been a struggle to get to this decision as I own a house with equity and could have remortgaged but have spent 20 years juggling credit, switching cards and remortgaging - for me itís just not a solution so I think itís time to take a different approach.

    Like many on here I have the feelings of failure, embarrassment and the like but Iíve tried to reframe this as Ďthe only mistake would be to keep doing the same thing thatís failed time after timeí. I also must have paid 10s of thousands in interest over the years so itís time to redress the balance.

    Again, like many others, Iíve never missed a payment and have a good credit history, other than over-commitment, and this worries me but I keep reminding myself that it doesnít matter if the whole point is to live debt free! Iím actually excited to get started.

    So to the plan:

    - Iíve opened a Ďcleaní bank account
    - Cancelled DDs for creditors and written to them for a 30 day pause
    - Agreed a realistic budget with SC which Iíve revised a number of times (theyíve been great)
    - Stocked up on essentials to ease the first month or so!
    - Will write to creditors again after 30 days advising of DMP to start in November, this gives me a couple of months to save an emergency fund. I plan to explain that this is a long-term plan (6-7 years) and request a default as soon as possible.

    Iíve looked at the NEDCAB site and it seems really straightforward to set up a self managed DMP but I think Iíd prefer the support of SC for the first six month before switching to SM. Iíll need to do this as I suspect that some of the SC payments will cover the minimum on some of my 0% CCs so they wonít default until I drop the payment amount. Iíll also issue CCAs then, I doubt Iíll have much luck there but one CC is from 2007.

    Iíve tried to absorb all of the great advice here but have I missed anything?! Thanks again if youíve reached the end of this long post...
    Originally posted by JohnnyRotten
    Well done thatís a great start! I would just say do not rush to start the dmp (although if going with Stepchange they may have rules about this). If you need longer to save an emergency fund then do so. Good luck
    • Summer12
    • By Summer12 12th Aug 18, 1:13 PM
    • 89 Posts
    • 47 Thanks
    Summer12
    I was being pestered (bombarded) with calls from a DCA - I ignored them for a while then in the end I picked up the call, refused to answer their security questions and told them if they didn't remove my number from their records I would report them to the Information Commissioners Office and from that point onwards all calls stopped. Worth a shot, maybe!
    Originally posted by Suseka97
    Might try that one day if Im feeling brave enough! Thanks x
    • Poor_Single_lady
    • By Poor_Single_lady 12th Aug 18, 8:02 PM
    • 1,422 Posts
    • 5,495 Thanks
    Poor_Single_lady
    Hello All. I've just written out and phoned credit card companies last month. So this month everyone received a lower amount than that billed. I owe 5 separate companies.

    1 has written to give notice that they will be defaulting me. It feels quite early - but the debt is £5000 and I offered £30 a month so not sure if this low offer caused things to move more quickly. It has only been about 10 days since I called them so moving very quickly compared to the others.

    2 of the other companies said it would be at least 6 months before defaulting.
    Does this sound normal.

    1 company didn't pick up the phone and hasn't sent me any letters - but interest is not being added.
    2017- 5 credit cards plus loan
    Overdraft And 1 credit card paid off.

    2018 plans - reduce debt
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