Your views and questions.

Moderators: TalbotWoods, JaneClack

Bypink princess
Sarah wrote:Now I am starting to wonder....

If you go into an IVA and then get married then your circumstances will change and your surplus would increase as you would not be paying all the bills. His "mansion" is not yours and therefore totally outside the equation and would not be considered.

His credit rating would only be impacted on if he took out joint debt with you - which you would obviously avoid if you did not want him to find out!! However, your IVA would be visible on the insolvency register whilst it was in place and both are going to affect your credit rating.

All these questions and more your case officer can answer. I am intrigued as to why your surplus is so much smaller with Payplan than CCCS - they should both be what your affordable surplus is. I am also interested to find out why CCCS have not thought it suitable to offer an IVA?

Hi ccs. Was the computer generated answer so I will give them a ring and ask them whether a iva would be suitable. Regarding the difference in surplus the payplan man said that my food allowances I had put down was small and I should increase it to a more realistic amount for two people also he wanted a bit of contingency in there. I will let u nkow what ccs say when I speak to them . Thanks again
By Butts
pink princess wrote:Hi all just an update and thanks to to you all for help to date. Finally sleep at night and even told the boyfriend! Went with payplan who are so professional and helpful! Advised me to pay
265 into dmp. I am hoping to pay more once mortgage payments are lower. I also opened a new bank account with first direct they have given me debit card, cheque book and interest free overdraft of 250 and additional 250 so total 500. I told payplan today and was advised that was ok but I must cancel overdraft as it could be seen as fraud! Any advice on this? I don't want to because I and e is so tight I am worried if I have an emergency. Any thougths on this? Thank you

As a debt management plan is an informal arrangement technically you have not done anything wrong by having an account with an overdraft facility.

I take it you have not utilised the overdraft yet - payplan would disapprove because I suspect it gives you the chance to go further into debt whilst they are attempting to secure a deal with your creditors.

Obviously you credit rating hasn't been impacted yet as you managed to open this account. :mrgreen:
User avatar
By JaneClack
#273563 I would recommend that you reduce the overdraft facility to around £50 to act as a buffer. Technically using an overdraft whilst doing a debt management plan is not fraudulent but it does not reflect well on the debt management company or you if you are still using credit when you are not paying your other creditors the full amount. Think about it - you are basically saying, ok I cannot pay you the full amount but could afford to pay off an overdraft - and they are repayable on demand.

If you have an emergency - as I am sure will have been explained to you - Payplan would prefer you ring and let them know and try to make a token payment to each through them. On your budget you should have been given an allowance for various things so hopefully nothing should come up and bite you on the bum - but it does happen.

Take my advice on the overdraft - I speak as one who know when my overdraft was pulled on me leaving me little to live on for the month. :D
Bypink princess
#273573 Ok thanks for your advice just genuinely worried if anything happens between now and next payday. I may speak to payplan as my budget is so tight that I might ask I'd they can allow a little more toward food etc. When I did it I gave figures under what I normally spend to allow more to creditors. On reflection its seems very restrictive only concerned it that currently only offering 265 to creditors which seems a small amount for 54,000 of debt!
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By JaneClack
#273583 When are you making your first payment into Payplan as you will be encouraged to make token payments - of as little as £1 - each month as a sign of good faith until the first payment into Payplan is made which is usually in about a month or six week's from going into the scheme. The longer period is usually the case if you have to open a new bank account.

You also said in an earlier post that your housekeeping had been increased by your adviser as they did not feel you had estimated enough.

I am afraid I would still have to advise that you reduced that overdraft limit - it is dangerous when it could all be clawed back. If you used further credit before coming into Payplan or CCCS then you would have to pay that back first.

Did you ever find out from CCCS about the IVA as I see you have chosen the non statutory route for repaying your debt and I do understand it is a long time?
By disneylover43
#273923 Hi Pink Princess,
You won't regret choosing payplan they are brilliant.
We ahve been with them for nearly four years and our lives have imporved so much, all our creditors have agreed to the payments and last year we reduced our payment by £150 per month because our business was slack, since then we are able to eat well and pay all the bills each month without it crippling us. It was the best move we made when we chose payplan as before that we were with a fee charging dmp.

Good luck with your plan and as someone who has who been through the mill I will give you this adivice, don't let the creditors bully you , you might receive threatening letters in an attempt to get more money out of you, but stand firm and don't give into them . We used to be so intimidated by the creditors we lost sleep and it caused a lot of stress but when we recieve the idol threats now we just read them and say ' yeah yeah whatever ' :mrgreen:
Start enjoying life again it is more important . :clap: :clap:
User avatar
By JaneClack
#276113 That is good to know - and remember debt management is flexible; you should only ever pay what you can afford!
By nomlas
#281603 Would like to add, Payplan and CCCS are fantastic, especially for people with assets, as pink princess would no doubt agree they take a lot of the pressure off. After my first phone call to CCCS (almost five years ago) I felt a huge sense of relief. Although I now do my own DMP it was because of CCCS and this wonderful site that I now do not have any worries whatsoever regarding my debts.
Bypink princess
#453653 Thanks
Last edited by pink princess on Fri Dec 06, 2013 9:49 pm, edited 1 time in total.
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By TalbotWoods
#453793 Hi Pink Princess

Pleased that things have been going for you so far, and I suspect they will in the future as well.

I would suggest that you have a chat with your case officer at PayPlan, as what you are suggesting makes a huge amount of sense, but will have to he planned, so that you dont get sudden issues come up.

A couple of thoughts though, I dont think that a mortgage will be available, not necessary because of the DMP, but more to do with the fact that unless you are squeaky clean, a deposit of about 20% and in a very high paid job, most people are getting turned down. The mortgage lenders are very very wary of lending to anyone at the moment. Please do not think the government schemes would help at present, on those you do need to be 100% clean with your Credit Files

Full and Final offers are a possibility, and that would best be discussed with your case officer as they have to be done in a way that doesn't wind up other creditors, or you suddenly find things going wrong.

First step should be to call or email PayPlan and see what they have to say.