Free Debt Management Criteria

Debt management plans are available to UK residents living in England, Scotland, Wales and Northern Ireland for their UK unsecured debts.

As with all types of arrangement, debt management only deals with unsecured debts. This means secured debts, such as mortgages, second charges, secured car finance, Hire Purchase, conditional sales and leases are excluded and will need to be paid as usual.

Also, as with other types of arrangement, with a debt management plan what you will be offering your creditors is your monthly surplus disposable income. This is the money you have left after paying your living expenses and secured debt payments. In effect you are saying, "I do not have enough dispsoable income to pay you what I should, therefore I will pay you what I do have".


  1. You cannot meet your current contracted credit repayments.
  2. You can afford to pay your unsecured creditors at least £100 a month.
  3. Your unsecured non-prioirty consumer debts total at least £8,000.
    Hire Purchase, leases and secured loans cannot be included by the very nature of being secured. Priority debts, such as rent and Council Tax arrears and Student Loan Company payments are also not included. Likewise money owed for Benefit or Tax Credit overpayments are excluded, as are CSA and Maintenance arrears. If you have car finance, you should check if the loan is secured on the car. A lot of car loans are, and as such cannot be included in a debt management plan.
  4. You have a minimum of 3 different consumer debt creditors.
    For example, if you had an overdraft with Barclays Bank, a Barclaycard credit card and a Barclayloan, that would count as one creditor.

There is also the likelihood that creditors will not allow inclusion of unsecured debt facilities on which less than 3 months repayments have been made.