If you’re struggling to meet your unsecured debt repayments from month to month, a debt management plan could help. However, as long as your lenders can see that you’re doing your best to repay what you owe, they’ll probably decide there’s no reason to get debt collectors or bailiffs involved.

Do creditors accept debt management plans?

Yes. Creditors are not obliged to accept a debt solution but they could accept a Debt Management Plan if they feel this is the best way for them to recover the money owed to them. You will have to put forward a firm and fair offer of payment to your creditors and outline how much you can afford to pay back each month.

What happens if creditors reject DMP?

If this happens, don’t worry. It just means that they’re not willing to agree to the payment amount as a long-term solution to your debt. In most cases, if a creditor says they’re not accepting your DMP offer, this will mean they’ll pass the debt to a collection agency.

What happens if someone takes you to court for debt?

If you’re being taken to court for debt. The people you owe money to are called ‘creditors’. If you owe money and you don’t pay it back your creditor might take you to court. You might be able to stop them taking you to court if you agree to pay some of the money back.

How to get creditors to agree to a debt repayment plan?

Don’t be pressured into agreeing to a payment amount you cannot afford. If any of this sounds daunting, don’t hesitate to get in touch with us for free and impartial debt advice and money help. How do I get creditors to agree to a debt repayment plan?

Do you have to agree to a debt management plan?

Creditors don’t actually have to agree to the Debt Management Plan payments in order for you to send them the money. You can only offer what you can afford and no more; the creditors know this but may use commonly-used techniques to try and get you to increase your payment.

What should I do if my creditor takes me to court?

If you don’t, your creditor might start legal action without you knowing. You should check if you have to pay the debt before responding to your creditor. What you should do depends on which documents you’ve got from your creditor. You’ll have 2 weeks to make any missed payments you owe.