Together, we’ll help you resolve your debt problems in the best way for you.
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manage your debt with a debt management plan
A debt management plan is an agreement between you and your creditors to pay all of your debts in full.
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what is a debt management plan?
Debt management plans are useful if:
• You can afford to pay something towards your debts but can’t afford the full payments your creditors are expecting.
• You have debt problems but are unable to afford the full repayment for a period of time.
• You do not want to enter a formal solution.
• You are struggling to keep up with your current repayments and need to regain financial stability
benefits
Here’s how an Debt Management Plan can help you regain financial freedom.
one affordable payment
change the amount you’re paying
creditors can freeze interests
certain organisations will do this free of charge
no need to speak to lenders
short term solution
considerations
everyone needs to be on board
For the DMP to be effective all creditors must agree to the arrangement offered.
it’s not a free service
Most providers will charge a fee for this service which may vary depending on the provider.
thawing out
Interest and charges are not guaranteed to be frozen.
impact on credit rating
Your credit rating will be affected.
it’s a marathon not a sprint
In order to repay your debt in full whilst also making reduced, more manageable repayments, the term of the agreement may be longer or the total amount repayable higher
how to get a debt management plan
1. get advice
Speak to one of our friendly advisors and we’ll assess your situation.
2. figure out your options
Your advisor will discuss which solution is best for you.
3. make a plan
Speak to one of our friendly advisors and we’ll assess your situation.
4. start your journey
If your plan is agreed, your loan will be set up and you can start your journey to debt freedom.
we’ve helped over 1000 people find debt freedom
how to get an IVA
1. get advice
Speak to one of our friendly advisors and we’ll assess your situation.
2. figure out your options
Your advisor will discuss which solution is best for you.
3. make a plan
Speak to one of our friendly advisors and we’ll assess your situation.
4. start your journey
If your plan is agreed, your loan will be set up and you can start your journey to debt freedom.
customer feedback
Here's what previous customers have to say.
frequently asked questions
what happens when my debt management plan finishes?
Your debt management plan (DMP) finishes when:
• You’ve fully paid off your debts.
• You’re able to go back to making full payments again.
Usually, a DMP might affect your credit rating, especially if you miss payments or pay less than the agreed minimum amount.
But here’s the good part, even if you’re paying less than what was initially agreed, sticking to your DMP payments shows future lenders that you’re taking responsible steps to repay your debts. This is better than not making any payments at all. Once your DMP ends, you can start working on improving your credit score.
• You’ve fully paid off your debts.
• You’re able to go back to making full payments again.
Usually, a DMP might affect your credit rating, especially if you miss payments or pay less than the agreed minimum amount.
But here’s the good part, even if you’re paying less than what was initially agreed, sticking to your DMP payments shows future lenders that you’re taking responsible steps to repay your debts. This is better than not making any payments at all. Once your DMP ends, you can start working on improving your credit score.
is there a minimum or maximum for a debt management plan?
There’s no specific amount of debt required for a debt management plan (DMP), but creditors consider certain factors before agreeing to one. They’re more likely to approve a DMP if:
• You’re having difficulty making your agreed repayments after covering your essential living expenses.
• You’re able to allocate some money toward repaying your debts each month.
• The monthly payment you can afford will enable you to clear your debts within a reasonable timeframe.
• You don’t have sufficient disposable income to settle your debts entirely within six months.
• You’re having difficulty making your agreed repayments after covering your essential living expenses.
• You’re able to allocate some money toward repaying your debts each month.
• The monthly payment you can afford will enable you to clear your debts within a reasonable timeframe.
• You don’t have sufficient disposable income to settle your debts entirely within six months.
how long will a debt management plan stay on your credit history for?
A debt management plan (DMP) isn’t listed separately on your credit file. Instead, each debt included in your DMP is designated as either ‘AP’ (arrangement to pay) or ‘defaulted’.
A debt marked as ‘AP’ stays on your credit file for six years from the date it was settled, while a defaulted debt remains for six years from the first recorded default. Consequently, some or all of the debts marked as defaulted may have already vanished by the time your DMP concludes.
For the debts that remain on your credit file after completing your DMP:
• They should all show a balance of zero, indicating you owe nothing.
• They’ll be marked as settled (if they didn’t default) or satisfied (if they defaulted).
• Even with these debts on your credit report, managing your finances responsibly over time can help improve your credit score. Having zero balances and settled debts also enhances your chances of obtaining new credit at lower interest rates.
A debt marked as ‘AP’ stays on your credit file for six years from the date it was settled, while a defaulted debt remains for six years from the first recorded default. Consequently, some or all of the debts marked as defaulted may have already vanished by the time your DMP concludes.
For the debts that remain on your credit file after completing your DMP:
• They should all show a balance of zero, indicating you owe nothing.
• They’ll be marked as settled (if they didn’t default) or satisfied (if they defaulted).
• Even with these debts on your credit report, managing your finances responsibly over time can help improve your credit score. Having zero balances and settled debts also enhances your chances of obtaining new credit at lower interest rates.
do creditors widely accept a debt management plan?
Creditors are likely to agree to a debt management plan if they see it as the best way to get their money back. We’ll tell them how much you can afford to pay each month, along with details of your income and essential expenses. This shows them that you don’t have any extra money to pay them more than what’s being offered. Each creditor will decide separately whether to accept the reduced monthly payment. But in most cases, they do.
what happens if I stop paying my debt management plan?
If you’re having trouble keeping up with your debt management plan (DMP) payments, please get in touch with us as soon as possible. It’s important to not stop making payments suddenly. If you do, your creditors won’t receive the expected money, and they might decide that the DMP isn’t effective. They could then start demanding full payments again.
We understand that people’s situations can change. You might find that you have less money left over at the end of the month to allocate towards your debts. This could be due to losing your job or the increasing cost of living. Whatever the reason, we’re here to help. We can explore negotiating with your creditors to reduce your DMP payments.
We understand that people’s situations can change. You might find that you have less money left over at the end of the month to allocate towards your debts. This could be due to losing your job or the increasing cost of living. Whatever the reason, we’re here to help. We can explore negotiating with your creditors to reduce your DMP payments.
how long does it take to set up a debt management plan?
To get started with setting up your debt management plan (DMP), we’ll need details about your financial situation. Initially, we’ll ask about your income, essential expenses, and debts. It’s essential to provide proof of these amounts, so it’s helpful to gather relevant documents beforehand. These documents may include:
• Wage slips
• Benefit award letters
• Utility bills
• Council tax letter
• Bank statements
• Recent statements from your creditors
Once we have all the necessary information, it typically takes a few weeks to establish a DMP.
• Wage slips
• Benefit award letters
• Utility bills
• Council tax letter
• Bank statements
• Recent statements from your creditors
Once we have all the necessary information, it typically takes a few weeks to establish a DMP.
will a debt management plan affect renting?
If you’re currently renting a property, having a debt management plan (DMP) won’t be a problem if you’re paying your rent and any rent arrears as agreed with your landlord.
But if you’re in a DMP and looking to rent a new place, landlords and letting agents usually check certain financial information that’s publicly available, like bankruptcy details or court judgments.
It’s worth noting that information about DMPs isn’t publicly available. Landlords and letting agents can’t see your credit report, which has more detailed information about your debts, without your permission.
But if you’re in a DMP and looking to rent a new place, landlords and letting agents usually check certain financial information that’s publicly available, like bankruptcy details or court judgments.
It’s worth noting that information about DMPs isn’t publicly available. Landlords and letting agents can’t see your credit report, which has more detailed information about your debts, without your permission.
speak to sarah!
take back control
Taking back control is simple, but it can be a bit unnerving, so we keep you in the loop at all stages. Here’s what will happen after you get in touch.
We will call you to discuss your circumstances.
We help you decide on your best course of action.
We will help guide you through the process.
Care About Money Limited
Registered Office: The Granary 50 Barton Road, Worsley, Manchester, England, M28 2EB. Registered in England and Wales Registration number 13444035. ICO registration number ZB723901.
Care about money Ltd FRN 962287 is an appointed representative of Promethean Finance Limited FRN 662425.
Subject to eligibility and acceptance. Fees Payable. Debt write off applies to unsecured debts only and on completion of an IVA. If your IVA fails, it could lead to Bankruptcy, although this is rare and alternatives may be available. Your ability to obtain credit will be affected for the medium to long term. Homeowners may be required to release the equity in their property, if unable to release equity and equity is available creditors may request an additional 12 months payments in compensation.
Care About Money does not directly provide debt solutions, it will provide advice and refer you to one of it’s trusted debt solution providers should you choose a solution that suits your requirements. We will receive a fee if you enter into an agreement with one of our partners. Adele Cardoso is licenced as an Insolvency Practitioner in the UK by the Insolvency Practitioners Association.
All work undertaken by Arkle Insolvency Limited and Adele Cardoso (IP number 30710) is subject to the Insolvency Code of Ethics. Subject to eligibility and acceptance. Fees Payable. Debt write off applies to unsecured debts only and on completion of an IVA. If your IVA fails any debts remaining will not be written off. Failure of your IVA could lead to Bankruptcy, although this is rare and alternatives may be available. Your ability to obtain credit will be affected.
Registered Office: The Granary 50 Barton Road, Worsley, Manchester, England, M28 2EB. Registered in England and Wales Registration number 13444035. ICO registration number ZB723901.
Care about money Ltd FRN 962287 is an appointed representative of Promethean Finance Limited FRN 662425.
Subject to eligibility and acceptance. Fees Payable. Debt write off applies to unsecured debts only and on completion of an IVA. If your IVA fails, it could lead to Bankruptcy, although this is rare and alternatives may be available. Your ability to obtain credit will be affected for the medium to long term. Homeowners may be required to release the equity in their property, if unable to release equity and equity is available creditors may request an additional 12 months payments in compensation.
Care About Money does not directly provide debt solutions, it will provide advice and refer you to one of it’s trusted debt solution providers should you choose a solution that suits your requirements. We will receive a fee if you enter into an agreement with one of our partners. Adele Cardoso is licenced as an Insolvency Practitioner in the UK by the Insolvency Practitioners Association.
All work undertaken by Arkle Insolvency Limited and Adele Cardoso (IP number 30710) is subject to the Insolvency Code of Ethics. Subject to eligibility and acceptance. Fees Payable. Debt write off applies to unsecured debts only and on completion of an IVA. If your IVA fails any debts remaining will not be written off. Failure of your IVA could lead to Bankruptcy, although this is rare and alternatives may be available. Your ability to obtain credit will be affected.