Debt Management

Criteria for Debt Management Clients

• Your clients must have a surplus income of more than £100 per calendar month.
• They must be in employment.
• Must be resident in the UK.

What is Debt Management?

• Debt management enables us to manage your client’s debts for them under an informal program.  They tell us who they owe money to, how much they owe and how much they can afford to pay each month.  Your client will need to provide us with full information on their income and expenditure.   We then take over.   We negotiate with your client’s creditors to agree affordable monthly repayments and we make payments on your behalf:
• Your client will make one single affordable payment to us each month and we will distribute payment to their creditors.   With Debt Management your client’s debts steadily reduce until they have repaid what they owe.

Is Debt Management right for your clients?

• Debt management may be right for your clients if they have relatively low debts but struggle to meet their repayments.   We will manage the repayments for them.
• There are many companies at present offering debt management.    The question that naturally presents itself is “Why us?”  Unlike many of our competitors we endorse an ETHICAL approach to debt management and will only recommend debt management if this is the right solution for your client.
• If your clients are currently on a debt management with another company you can contact us for free advice.   If there are better options available we can advise your clients accordingly.

Moneysolve will only offer your client a debt management programme if it is the best way to solve your client’s debt problem

Advantages

• Relatively cheap to set up and manage.
• Your client will continue to control his/her assets.
• Your client’s creditors may freeze ongoing interest and charges.
• Once the programme is implemented i.e. the creditors are receiving regular repayments they will usually stop further action against your clients. 

Disadvantages

• Your client’s creditors are not legally forced to freeze interest and charges.
• Your client would have no court protection from their creditors who can at any time break ranks and decide to issue court action or other legal process for the recovery of the debt.
• Creditors would expect payment in full in respect of the outstanding debt.  No part of the debt would be written off.