Direct Debt Advice

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Frequently Asked Questions

Debt Management Plan

What happens if I can't keep up with the reduced payments?

A debt management plan is an informal agreement. By its nature this makes it flexible. It is not advisable to change the terms if possible. If however you simply can?t pay you need to contact your debt management provider so they can draft a revised agreement. This they then need to submit to all your creditors to understand if they will agree to a lower payment. There is no guarantee they will be prepared to accept.

Which debts can't be included in a debt management plan?

What is the main benefit of a Debt Management Plan?

How will the plan affect my credit rating?

Will my lenders freeze the interest to make the debt management plan attractive?

What happens if I can't keep up with the reduced payments?

Will my creditors still contact me?

What is a typical time period for a debt management plan?

What is the difference between fee free and fee charging advisers?

Why don't I just negotiate with my creditor directly?

Does a creditor have to accept the plan put forward?