What is a DMP?
A Debt Management Plan (DMP) is designed to help anyone who may be struggling or in arrears with money they have borrowed. Any debts which are managed through a DMP will ultimately be paid off in full providing payments are maintained throughout its lifetime.
Payments in a DMP are normally calculated on what you can afford and not on what you owe. Charges and interest may be frozen or reduced but this will depend on your creditor. Payments to creditors may be reduced, which could in turn increase the length of time taken to repay outstanding debts or arrears to creditors.
Any communication you receive from creditors included on a DMP is normally managed by your DMP provider.Continue to the next section How does a DMP work?