Debt consolidation Plan

[Handsome_guy]

For those who are already on DRS, am curious about the travel restrictions overseas since I know need to apply for permission before going overseas.

How lenient are they with granting permission? Ie:
Is it only allowed if going for work?
Will they approve if going overseas for holiday?

No travel restriction for DRS. It's not bankruptcy.

 

[Handsome_guy]

Your CBS credit record will show that DRS "partial complete" after 5 years when you have completed the DRS. The records will remained permanant or not I not sure since the debt was not fully cleared off?

While DMP the debts are fully cleared, records removed after 3 years. Everything can be reset with clean slate.

Banks will have records that your debt was not fully cleared (as half is written off) this is permanant (whole life) and you cannot undo or change the record.

So do you think is it worth it to save this 35k? and let the banks, the courts, the gov agencies carry your bad records for the whole life. Some people may think otherwise.

Some people like me have no choice, DRS could be the only way. But if you have a choice, I think DMP should be better. For DRS, I do not think the savings of 35k is worth it.

After you finish paying DRS for 5 years, the next 3 years you not allow to borrow any loan from banks. The savings is more than 35k when you take into account the interest you paying for the next few years. Many people are reluctant to go for DRS cos they don't understand it fully or fear based on hearsay. But if you got problem surviving day to day due to your debt, DRS will save you.

 

[Antisharks]

My DRS already commenced.

So let's say you owe 70k, the OA will review your proposed payment plan and decide to agree with it or not.


Half of my debt of 70 to 80k is being write off. I only pay $600 per mth

And how about income proof? Im doing odd jobs now and theres no paper work nor cpf whatsoever. I dont think I can just verbally tell them how much I earn etc etc right?

 

[Aion99]

After you finish paying DRS for 5 years, the next 3 years you not allow to borrow any loan from banks. The savings is more than 35k when you take into account the interest you paying for the next few years. Many people are reluctant to go for DRS cos they don't understand it fully or fear based on hearsay. But if you got problem surviving day to day due to your debt, DRS will save you.

A 80K DMP payable in 5 years, with interest 3%, total interest fee is around 6K. With your fees you paid to debt consultancy plus initial court fees applying for bankruptcy plus yearly OA Admin fees etc. I guess already more than 6K?

I think in this case the DRS fees could be higher than DMP interest as OA also charge the following

• 1.5% of total amount collected (as a collection fee to the OA)
• 3% of amount distributed (as a fee to the OA for distributing dividends to creditors)

 

[Aion99]

And how about income proof? Im doing odd jobs now and theres no paper work nor cpf whatsoever. I dont think I can just verbally tell them how much I earn etc etc right?

They need at least salary slips, receipts, something I guess.

 

[chris_83]

for those who want to apply boc but not existing cust, pls wait about 2 months plus to know the result as they need to help you to apply cc first which already took 2 months plus.

 

[chris_83]

How does DMP works?
Is this pre bankruptcy plan of paying?

bro,hows your cimb application? not sure if i want to apply,will be they approve a cc first without credit limit in order to apply the dcp. if approved, only the credit limit increase to one month salary.

 

[chris_83]

https://www.msn.com/en-sg/money/per...-cards/ar-BBPojgQ?li=BBr8Cnr&ocid=mailsignout

good to read, but it is too late to realize

 

[Handsome_guy]

A 80K DMP payable in 5 years, with interest 3%, total interest fee is around 6K. With your fees you paid to debt consultancy plus initial court fees applying for bankruptcy plus yearly OA Admin fees etc. I guess already more than 6K?

I think in this case the DRS fees could be higher than DMP interest as OA also charge the following

• 1.5% of total amount collected (as a collection fee to the OA)
• 3% of amount distributed (as a fee to the OA for distributing dividends to creditors)

DRS processing fee probably around 1.5k, lazy to go calculate. First and second annual fee is 300 per year, pay to Ministry of law.

Debt write off more than 35k. Debt consultancy fee around 1.5k.

Please tell me which one I will be paying more. Plus, if I go for DMP, it is still not 100% can approve, ultimate decision on your creditors while DRS decision is made by Ministry of Law and creditors can decide whether to claim or not.

For my case, even my debt of 70 to 80k with a lower interest rate, it is not going to change my situation very much. I still will struggle to fork out more than 1k every mth.

 

[LosingHope]

I think no hope...
Submit last friday... got free report looks like no hope... with cbs HZ really no chance to get it approved... i planned to closed all acct and pay monthly for 4 years... just tahan a while...

bro,hows your cimb application? not sure if i want to apply,will be they approve a cc first without credit limit in order to apply the dcp. if approved, only the credit limit increase to one month salary.

 

[chris_83]

mean all restructured loan? bro try dmp first...or r. loan is better than dmp?

 

[Positivecockroach]

Have u tried other route.

I think no hope...
Submit last friday... got free report looks like no hope... with cbs HZ really no chance to get it approved... i planned to closed all acct and pay monthly for 4 years... just tahan a while...

 

[Vindicate_d]

I think no hope...
Submit last friday... got free report looks like no hope... with cbs HZ really no chance to get it approved... i planned to closed all acct and pay monthly for 4 years... just tahan a while...

How do you see the free report?

 

[LosingHope]

How do you see the free report?

I go to CBS website and click free report... usually u will get one for new application...

 

[LosingHope]

mean all restructured loan? bro try dmp first...or r. loan is better than dmp?

Yup all restructured loan... like DBS for 4 years with 10% interest rate per year... owing abt 15k and paying 400 fixed every month.. my debt abt 60k so i calculate i have to fork out abt 1.8k every month for 4 years... so i guess more or less abt the same as DCP... if DCP 5 years they quoted me abt 1.5k for 5 years... so this is 4 years abt 1.8k

 

[LosingHope]

Have u tried other route.

Nope... i wanted to try CCS n DMP but i hv no courage to go through yet

 

[Vindicate_d]

I go to CBS website and click free report... usually u will get one for new application...

Oh are you referring to the promo by HSBC?

 

[LosingHope]

Oh are you referring to the promo by HSBC?

If u make any application loan cc eg. with IA if approved or rejected u will get free CBS report

 

[lork44]

Agree!

If they are willing to cover the early settlement fees and EIR is much lower, currently 9.04% with UOB and DBS quoted 7.38%, then it's worth it to refinance.

Sorry, quoting back to refinance for my case.
DBS offered cash back of $4000 for my early settlement. My early settlement fees is around $5800 which means I need to fork up another $1800.

The interests rate is lower than UOB and long term there is still savings of about $4000 at the end of the loan.

Any advise / recommendation if I should go with the refinance?

 

[sneggg]

Sorry, quoting back to refinance for my case.
DBS offered cash back of $4000 for my early settlement. My early settlement fees is around $5800 which means I need to fork up another $1800.

The interests rate is lower than UOB and long term there is still savings of about $4000 at the end of the loan.

Any advise / recommendation if I should go with the refinance?

cash back is part of the promo or ?