DMP's and credit rating

[thedon4]

Hi

 

I just wondered how badly a DMP would affect your credit rating?? Would all creditors be flagged as "defaulted" on credit file if take over by a DMP??

 

Thanks

[citizenB]

If the account was already defaulted then, who ever owns the account will likely continue to update your credit files. Some Creditors mark as "payment arrangement", I think. The DMPs dont update your credit files.

[dx100uk]

do it yourself

 

NEVER pay a DMP company.

 

list your debts

 

we'll help !!!

 

dx

[thedon4]

No I wasn't lookin to pay a DMP company, I was exploring the avenue of contacting step Change or payplan... My debts haven't defaulted yet so just wondered how badly my credit rating would e affected if step change took them over

 

Thanks

[dx100uk]

its a lottery really.

 

no one can predict.

 

sometimes creditors dont do anything

 

sometimes they use the AP marker [very bad]

 

sometimes they just default [ or use late/under payment markers]

 

the bottom line is they dont HAVE to do anything

 

it also though sadly leaves the door open for them to mark the file whenever they like though

not necessarily at the start of the DMP either.

 

what are your debts

 

lets have a nosebag

 

dx

[thedon4]

its a lottery really.

 

no one can predict.

 

sometimes creditors dont do anything

 

sometimes they use the AP marker [very bad]

 

sometimes they just default [ or use late/under payment markers]

 

the bottom line is they dont HAVE to do anything

 

it also though sadly leaves the door open for them to mark the file whenever they like though

not necessarily at the start of the DMP either.

 

what are your debts

 

lets have a nosebag

 

dx

 

 

what is an AP marker ??

 

outstanding I currently have

QQ- £1125 (with interest)

Wonga - £580 (with interest)

Credit Card 1 - £3400

CC 2 - £1500

CC 3 - £1000

CC 4 - £600

overdraft from a student account I know longer use (just pay the interest each month) - £700

 

didn't realise how scary it is until I've just wrote it all down !! it's got to the point where I am able to pay back each month and I don't default but I'm making no dent in any of my credit cards. one lump monthly payment would be so much easier and would give me a finish date.. but obviously I can't get a personal loan to consolidate

[dx100uk]

ok

 

have you looked at reclaiming PENALTY charges & PPI on those cards?

 

dx

[thedon4]

have no PPI but no I haven't tried the penalty charges.. but I am pretty good and make sure I pay each month even if I am scrapping the pennies together, hence the PDL

[citizenB]

The only other thing I can suggest is a Debt Relief Order if you have less than £15,000 worth of debt and no assets - National Debtline would be able to give you some advice on those. You will then be debt free in one year.