Going into DMP, Opened new bank account but how do I deal with 'old' bank?

[southcoastgirl]

Hello Everyone,

 

I've taken the first steps today. Phoned national debtline, mentally got to grips with what I need to do , gone into town and opened a new bank account, and arranged for my salary and tax credits to go to this new account.

 

What do I do about my 'old' bank account? It has an overdraft of £1,900 and no more money will be paid into it. I'm making a claim for the return of penalty charges and think this will amount to around £800-£1,000. National debtline have template letters to write to my creditors to ask them to 'hold action' until I have a debt management plan in place, but I'm assuming I now need to send something similar to my old bank (Abbey) to tell them what I'm doing. Does anyone know where I can find a template specifically to write to my old bank and tell them that I no longer need their services and will make an arrangement to pay my overdraft with them in instalments?

 

I can't find anything like this - either on this site or national debtline site. Can anyone advise?

 

By the way, I haven't transferred any direct debits or standing orders to my new account, but hope to set up new standing orders for my mortgage, building insurance, etc., early next week. In other words I didn't 'transfer' my account to a new bank: just opened a new basic account elsewhere.

 

Thanks everyone !

southcoastgirl

[powelll]

You can just use the standard hold action letter on NDL site - the overdraft is just another non priority debt and if you for for a DMP will be included in the monthly payment so they will get a cut of your surplus income.

 

When you transfer your standing orders just make sure you don't set up any for the non priorities like unsecured loans credit cards etc.

 

Best of luck