Debt Management Fees

Our debt management plan fees are in two categories:

• an initial fee - your first two monthly payments
• ongoing monthly fees, which are 15% of each monthly payment you make. Note that each payment is subject to a minimum of £25 and a maximum of £100.

What are the initial fees for?

Setting up your debt management plan involves a lot of work, and your initial fee covers all of the following:

• reviewing your draft payments
• making sure you are making an affordable offer to creditors
• assembling and preparing your financial statement
• renegotiating monthly payments by talking to creditors on your behalf.

Your initial fee doesn't pay off any debt, so you'll see that your account is in arrears during the first two months. This is normal, and you will start paying off your unsecured debts with your next payment.

What are the monthly management fees for?

Your monthly management fees pay for all of the ongoing work needed to make your plan succeed. For example, it covers all of the following:

• talking and writing to your creditors
• paying all of your creditors the agreed amounts
• reviewing your circumstances with you at least every six months
• giving you detailed quarterly payment statements
• giving you the help and support you need during the whole term of your plan.

We will review your circumstances with you regularly (every six months, or more often if needed) to ensure that your plan remains right for you. If we find you can't keep up your originally agreed payments .We can renegotiate with your creditors. It's in your creditors interests for you to maintain a regular payment and we will do our best to agree to smaller payments.