About
Debt Management Plan
A Debt Management Plan (DMP) is a structured agreement between a debtor (you) and your creditors (lenders) to repay unsecured debts in a more manageable way. It is typically arranged and managed by a licensed debt management company or credit counseling agency.
Benefits of a Debt Management Plan:
- One Affordable Monthly Payment
You only pay what you can realistically afford after essential expenses.
- Interest and Charges Can Be Frozen
Many creditors agree to freeze interest and charges, helping you pay off your debt faster.
- Stops Collection Calls & Harassment
Once the plan starts, creditors usually stop contacting you directly.
- No Legal Action
If creditors agree to the plan, you may avoid legal action or court judgments.
- You Keep Your Assets
Unlike bankruptcy, your house or car is not usually affected.
- Confidential and Private
It is not a public record (unlike some other debt solutions).
- Flexible and Reviewable
Your plan can be reviewed and adjusted if your circumstances change.
Individual Voluntary Arrangement
An IVA (Individual Voluntary Arrangement) is a formal and legally binding agreement between you and your creditors to pay back your debts over time—usually over 5 to 6 years. It is an alternative to bankruptcy and is available in the United Kingdom.
Benefits of an IVA:
- Write Off a Portion of Your Debt
You usually pay back only a part of your total debt; the rest is legally written off at the end.
- Stops Interest, Charges & Legal Action
Once approved, creditors can't add interest or take legal action.
- One Affordable Monthly Payment
Your payments are based on what you can realistically afford.
- Protects Your Home
Homeowners can usually keep their property (though some equity might be considered).
- Fixed Timeline
The IVA typically lasts 5 or 6 years, after which you're debt-free.
- No More Creditor Contact
Creditors must deal directly with your Insolvency Practitioner, not you.
Full and Final Debt Settlement
A Full and Final Settlement is an agreement where you offer your creditor a lump sum payment that is less than the total amount you owe, in exchange for having the rest of the debt written off. Once accepted and paid, the creditor considers the debt settled and you won’t owe anything more.
Benefits:
- Clear your debt for less than the full amount.
- Avoid court action or bankruptcy.
- Stops future interest, charges, and contact.
- Gives you a fresh financial start.
Council Tax Arrears Sorted
How We Help People Get Their Council Tax Arrears Sorted
We work with clients who are struggling with council tax debts and offer support through:
1. Free Debt Advice
- We assess your full financial situation.
- Prioritize urgent debts like council tax.
2. Affordable Payment Plans
- We negotiate with the local council to set up a manageable repayment plan based on what you can afford.
3. Stop Legal Action
- If bailiff action is threatened or already in place, we can intervene and negotiate to stop enforcement.
4. Debt Solutions (IVA / DMP)
- If you have multiple debts, council tax arrears can be included in formal solutions like an:
- IVA (Individual Voluntary Arrangement)
- DMP (Debt Management Plan)
- Debt Relief Order (if eligible)
- IVA (Individual Voluntary Arrangement)
5. Liaise with Bailiffs
- If enforcement agents are involved, we can contact them on your behalf to pause action and help regain control.
Contact Me
Better yet, see us in person!
Send us a message, and tell me more about your financial goals and needs. I will get back to you soon to schedule a consultation.
Message us on WhatsApp
Sorted Debt
Suite 6, 5th Floor, universal square, Devonshire St N, Manchester M12 6JH, United Kingdom
Phone: 01613942694 Email: contact@sorteddebt.co.uk
Hours
Open today | 09:00 am – 05:00 pm |
