A Debt Management Plan also known as a DMP is a debt solution for people who cannot afford their debt repayments.
It is an informal arrangement between you and your creditors that enables you to repay your debts at a rate which is affordable to you. We can manage your DMP on your behalf. We will contact all your creditors and speak to them on your behalf and work out the terms of the DMP agreement for you.
A debt management plan is a great debt solution for a temporary period if you are struggling financially. However keep in mind that because a DMP is only an informal arrangement with your creditors, you or your creditors can opt out of the agreement at any stage, so if your creditors feel that you aren’t sticking to the terms they can terminate it and go back to demanding the full payment amount.
If you are planning on entering into a Debt Management Plan make sure that you are going to stick to the terms of the agreement.