We work out what you can afford to repay.

A Debt Management Plan is an informal arrangement between yourself and your creditors that is managed by No Debt Now. We work out what you can afford to repay by discussing your income and household expenditure with you.

We will negotiate with your creditors to repay your debts at a more affordable level including the reduction or freezing of any interest or charges on your accounts. Whilst this cannot be guaranteed, it is something our account managers do constantly and as a result have developed good working relationships with your creditors which all helps toward working out the right plan for you.

You make one affordable payment to us each month, which we distribute on a pro rata basis to your creditors within five working days of receipt of cleared funds, less our management fee. A Debt Management Plan is completely flexible and can be changed to suit your current circumstances.

Your personal account manager will handle the administration and paperwork on your behalf. It is essential that any correspondence you receive from your creditors be posted to us as soon as possible.

Advantages of a Debt Management Plan
The advantages include:

• Making one affordable monthly payment giving you better control over your unsecured debts
• Creditors may agree to reduce or freeze interest and charges on your debt and may stop further action like taking you to court (although this cannot be guaranteed)
• Reduce contact from your creditors or debt collectors
• Peace of mind knowing you have a professional company working on your behalf that has years of experience dealing with your creditors
• When you complete the plan, your unsecured debts will be cleared

Disadvantages of a Debt Management Plan
These disadvantages may include:

• Debts must be repaid in full – they will not be written off
• Creditors may still contact you asking for immediate repayment
• Secured debts including mortgages are not covered by a debt management plan
• In some cases your payments may be extended over a longer time period
• Not having interest and charges reduced or frozen for all of your unsecured debt

Download an Example Debt Management Plan
Right-click and 'Save As' to download.

For more help with debt, information and advice, contact us online or call us now on 0800 473 0636