We could help you manage your debts with a DMP

A DMP is an informal flexible arrangement where you maintain a regular affordable payment towards unsecured debts. There are fewer criteria needed to be eligible for a DMP than an IVA and this can be reassessed at any point to ensure payments are affordable. Not all credit has to be included in a DMP, and assets owned do not affect eligibility for this option.

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An IVA is a fixed formal arrangement which can only be applied for when debts owed are more than £5,000 and outweigh any assets you may have. Generally, an IVA would require a minimum monthly payment of £100. If an IVA is possible, some debt can be written off through this and you would usually be debt-free after 5 years. This can sometimes be extended to 6 years if you have a property with sufficient equity.

A DMP does not officially show up on a credit file as it is an informal solution. However, if an account has not already been defaulted due to missed or reduced payments, then a default would usually be applied once the monthly minimums are no longer being maintained.

The length of a debt management plan depends on the amount being paid to your plan per month, how much debt is being paid and how many different accounts you need help with. The more that is paid each month, the shorter the timescale would be. Extra payments can also be made at any point which speeds up the time of the plan.

Yes, as long as they give authority to us for you to speak on their behalf and can sign documentation that is sent to set up the plan. If your partner/family member already has a plan with us and they want you to speak with us, they can prove authorisation for you to speak with us on their behalf. This helps if the client is ill, struggling to deal with finances or overseas etc.

It cannot be guaranteed that interest and charges will be frozen with a DMP. However, we negotiate with your creditors to stop all interest, charges and action against you and in 99.9% of cases we are successful.