How does a DMP work?
The process begins with a review of your financial income and expenditure. This is normally done by a licensed debt management company.
Once completed they will have an idea of what you can pay towards your existing debts. This is after you have paid essential bills such as rent or mortgage, utilities and council tax. They will hold discussions and negotiate with your creditors with a view to reducing monthly payments which, if successful, may increase the length of time taken to repay what you owe to your creditors.Continue to the next section How do I qualify for a DMP?