How can debt management help me?
If you've taken on bigger monthly unsecured debt repayments than you can afford and it's making it difficult to pay for the essentials, debt management could be one of the options you look at to even things out.
Perhaps your circumstances have changed or your living costs have increased. Whatever the reason, a debt management plan could help you cope with the problem. A plan would not include any secured loans (like your mortgage, for example) and you would need to keep paying these seperately.
- Replace multiple monthly payments with just one
- Reduce the monthly cost of repaying your debt... although lower repayments may mean it takes longer and costs more to repay your debt
- Could freeze/reduce interest and charges... your lenders aren't guaranteed to do this, but we will negotiate with them for you
- Regain control of your finances... without a loan
- Stop demands from lenders once an arrangement is agreed... they may still contact you, but you can simply tell them to talk to us instead
At Gregory Pennington we've helped over 200,000 people get out of debt. Our expertise means we can assess whether debt management's suitable for you in a single call.
We have over 20 years' experience providing debt management plans.
With excellent working relationships with all the major lenders, your debt management plan stands every chance of succeeding.
A debt management plan could:
- Lighten the loadA debt management plan is a new repayment plan we agree with your lenders that spreads the cost of your unsecured debts. It means you'll be paying less for longer, which should make it easier to afford your other monthly costs. However, it may mean you pay more in the long run. Your lower repayments will also show up on your credit report - so you could find it more difficult or more expensive to get credit over the medium to long term.
- Help you get out of debt at a pace you can affordWe'll work out what you can reasonably manage after your other commitments are taken care of and negotiate with your lenders, asking them to agree to the new, lower payments. There's no guarantee they will accept this, but over the years we have developed excellent relationships with most major lenders.
- Freeze interest and chargesWe'll also try and agree a freeze in interest and charges to help you start tackling your debt sooner. Although they don't have to agree, lenders are often sympathetic to your situation and should recognise it's the best way forward.
- It takes care of your lenders for youAll the way through your debt management plan your Personal Finance Manager will handle all the paperwork, payments and calls and make sure any problems are resolved as they come up. You won't need to have any contact with your lenders throughout your time with us. If your lenders do get in touch with you, simply forward the letters to us, or ask them to call us instead.
- Give you ongoing expert helpFrom your first call with our advisors in the Solutions Centre to the Personal Finance Manager looking after you throughout your debt management plan, there's a team of experts to help you every step of the way.
- Give you access to a team of specialistsOur Financial Specialist team is there to deal with any issues not covered by your debt management plan such as:
- Problems with mortgage/rent arrears, utility bills and Council Tax
- If you've been threatened with a CCJ, a Charging Order, repossession or bankruptcy
- If you've received a Statutory Demand
- If your priority debts have become unaffordable
- Help you repay your debts without a loanUnlike debt consolidation, you won't need to borrow more to reduce your repayments.
Do be aware that repaying your debts more slowly than originally agreed will affect your credit rating, so borrowing more money could be difficult.
With expert help, getting out of debt can be easier than you think.
Call our confidential advice line on 0800 161 3516 or use our solution finder to see if debt management is the right option for you from all those available.
Why is a debt management plan effective?
- Effective for your lendersAlthough your lenders don't have to agree to reduced payments, in most cases they would rather have smaller, reliable monthly repayments managed by a reputable, professional debt management company than involve debt collectors or the courts - and risk not getting the debt repaid in full.
- Effective for youAs a professional debt management company, we can use our experience to negotiate on your behalf, so your debt management plan should be reasonable for your lenders and manageable for you: After all, there's no point us agreeing a repayment plan that you can't maintain - or asking for a reduction your lenders won't agree to.
Why do I need a Personal Finance Manager?
At Gregory Pennington we've found that the best way to help you succeed on your debt management plan is to give you your own 'finance manager' to talk to about your finances, whenever you need. That way you'll be dealing with someone who knows your finances inside out and knows you - instead of being passed to a different person every time you call.
What if debt management isn't right for me?
Because we offer a wide range of debt solutions our advisors can assess whether an IVA, Debt Relief Order (DRO), debt consolidation or bankruptcy may be more suitable for your circumstances. We also provide solutions for Scottish residents and can advise on the Debt Arrangement Scheme (DAS), LILA and Trust Deeds.