FAQ’s
What is Debt Management?
Debt Management is an informal process of negotiation with unsecured creditors to obtain a reduction in the repayment amount and / or a reduction in interest charges. The negotiation involves providing proof to the creditor that the individual is unable to meet all their contractual liabilities.
How will Debt Management benefit me?
As we will negotiate on the client’s behalf it will reduce the credit repayments to one lower monthly amount.
This is done by requesting that the creditors freeze or reduce interest charges and therefore agree to a new lower monthly payment.
Where interest charges are frozen, the money we pay to the credit companies is taken off the debt rather than being used to pay interest charges.
The client will then make one monthly payment to us and we will forward this to the credit companies.
This arrangement ensures that the client can sustain the standard of living they are entitled to as a UK citizen as they will now be able to afford all household bills without being over committed and living beyond there means.
Should I consider a debt management program?
Whether this is right for you or not, you certainly should be considering it. We negotiate on your behalf, to help reduce your current payments.
To allow us to help you, simply get in touch with us. You will be under no obligation and all correspondence will be in the strictest of confidence.
How long will the programme last?
Until all of the debts have been paid in full. Due to the reduced payment levels, this will be longer than the terms of original credit agreements and may incur addition interest payments as the term of the credit agreement is extended.
How is the programme administered?
Negotiations are made with your creditors to reduce your monthly payments. They are requested to freeze or reduce their monthly interest charges. A single monthly payment is taken form yourself and paid your creditors on your behalf. This will make managing payments simpler.
