Debt Management Plan
A Debt Management Plan is an informal solution which allows
you to pay back what you owe in an afforable manner.
This
solution is usually suitable for people with less than £8,000 worth of
debt, someone with an asset (such as a house) but do not wish to use
the equity to clear their debt, or someone who believes their financial
situation will improve in the near future.
In a Debt
Management Plan you would make one single monthly payment to one
company, who would then distribute the money to your creditors. The
Debt Management company would liaise with your creditors and act as a
middle man - saving you time and stress. In many cases the Debt
Management company would be able to freeze or reduce interest payments.
Our advisers can give you tailored debt advice based on
your income and expenditure and if we believe a Debt Management Plan is
the right solution, we will give you all the information you need to
enter a Debt Management Plan.
Debt Management Plans are suitable for:
- Anyone with unsecured where they can no longer manage the repayments
- Anyone
with a disposable income which can be paid to their creditors each
month (a disposable income is determined by taking your income away
from your expenditure)