Thread: Advice. DMP or not?

Im thinking about setting up a dmp but not sure on the pitfalls etc.
The only bills i pay from my £1125 take home pay monthly amount to £655
mortgage - £280
Car - £200
House Insurance - £20
BT - £30
Mobile - £25
Petrol - £100
Electricity - £20

My partner pays the rest mainly except for bit of food shopping,

That leave me with £450
£185 of this is taken to cover the minumum payment on four credit cards totalling £6800. So i have less then £265 to live on. This then includes bits and bobs like bread, milk (essential), treat kids, home repairs and general every day living.
Although managable just, im trying to pay as much of the higher interest as possible but this is the only one with credit available, so the likes of birthdays, tumble dryer just broke down etc, im finding that what i pay off goes back on again a couple of months down the line for some reason or another. Im also thinking when the interest rates go back up so will my mortgage.

I really want to get this sorted before they do go back up and im going to be left with less money to live on ending up in financial trouble.
2 cards have had my available credit stopped due to late payments. And 2 im doing ok with.

Would it be best carrying on and monitoring exactly how much im paying off each month or seek advice about a dmp? Paying £100 a month towards a dmp would be good as i would have more money to live on but also would get the chance to make token payments to get debt down quicker.
However i believe these do effect my credit rating, which although not to bothered when it comes to credits cards, hire purchase etc as i do not want any of these again, im worried about remortgaging the house when the time comes.
Any advice appreciated.

Hi

I am with Payplan debt management plan, and as I have said in previous posts, I feel debt management plans are excellent. I have been paying into my DMP for over a year now, and it is unbelievable how much pressure it has taken away from not only myself, but my family too.
I am in rented accomodation, however, although I cannot speak on behalf of the mortgage companies, cannot see it being a problem getting a remortgage - you may just need to shop around abit more.
The DMP does affect your credit rating from when you default on the agreed payment, and begin making reduced payments. However, it is good to have someone dealing on your behalf, dealing with statements and letters received, and negotiating with the creditors, to saves having to do this yourself.
As I say, my family have noticed a difference in me, as I am a lot happier and feel more positive about my finances. Although I still have a long way to go, I can see the end now, and it is thanks to the debt management plan I have been paying into.
Best wishes