Debt Management Plan (DMP)

Debt Management Plans (DMP) are one of many available debt solutions that offer a flexible way to sort out your finances. They can change when your circumstances do giving you better control, whilst still making positive steps to reduce your debt. Debt Management Plans are usually for people with unsecured debts totalling £15,000 or less, though this depends on exact circumstances. In cases of £7,000 or more you may find that an IVA or Trust Deed could be more appropriate, if you are unsure, please call today for confidential, helpful advice on 0800 083 4646 .

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Individual Voluntary Arrangement (IVA)

Individual Voluntary Arrangements are know as IVAs. They are a binding contract between you and your creditors (the people you owe money to). The agreement states that you will make fixed monthly payments each month into your IVA, and in return they will accept lower payments over a fixed term and write off any unsecured debt that has not been repaid in this time.

You may qualify for an IVA if you have £10,000 of unsecured debt or more to 3 or more creditors. The qualifying criteria for an IVA are not as simple as other debt solutions though, as they are a legal contract and must be completed by a qualified Insolvency Practitioner. You should also be aware that each IVA is different based on an in depth assessment of your circumstances.

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Trust Deeds (Residents of Scotland)

If you live in Scotland and have problems with debts then one of the specific debt solutions you may want to consider is a Trust Deed. A Trust Deed is a legally binding agreement between you and your creditors – similar to an IVA. However, a trust deed usually only lasts for 3 years (not 5 like an IVA) and during that period you will make a single and affordable payment each month. At the end of 3 years, whatever unsecured debt that is still outstanding will normally be written off. Once a Trust Deed is initiated it becomes ‘Protected’ which means that the people that you owe money to cannot take any further action against you.

To enter into a trust deed you must be assisted by an Insolvency Practitioner and as such you cannot do it yourself. To find out more information call us now on free phone 0800 083 4646 or fill in your details above. We will then call you back at a time that is convenient for you.

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Important Information About Our Service & Fees

Whilst we strive in all cases to negotiate the best deal with your creditors, we cannot guarantee a reduction in interest or charges. Also as one of the largest providers of debt management solutions in the UK, we are able to provide initial advice over the phone without charge, however, if a debt solution is taken out, please be aware that fees will be charged. We aim to keep these fees as low as possible and believe that we are very competitively priced, for detailed information on our fees, including examples for each product, please click this fees link.

Further Additional Information

What if you decide that I don't want to go ahead? - click here.

Will your credit rating be affected? - click here.

The insolvency service has produced a guide for people who are struggling with debt. This guide outlines each of the available solutions. You can download the guide by clicking the following link - In Debt? Dealing With Your Creditors.

If an IVA is not maintained it could lead to bankruptcy.