On this page:

Get started

What is a DMP?

How a DMP works

More about DMP

What happens during a DMP?


Get in touch

Blog articles

Debt Management Plan

A Debt Management Plan helps you manage your debts by lowering your repayments.

  • Affordable monthly payment
  • Take control of your finances
  • We'll handle all lender contact

Get debt solutions personalised to you

  • Summary of your income & outgoings
  • See which solutions are right for you
  • Real customer stories to look at
Get started

What is a Debt Management Plan?

  • It's a debt solution designed for people who can't afford to repay their unsecured debts at the rate they originally agreed to.
  • It allows you to repay your unsecured debts back in full, at a rate that's affordable for you.
  • It may take longer to repay your debts and you may end up paying more overall but the lower payments will provide you with the financial breathing space you need each month.

They gave me my life back and are so friendly and professional. One word - BRILLIANT!

Michael had £6,462 in unsecured debt. He was put on a Debt Management Plan and is now debt free.

Read Michaels story

DMPs are available subject to eligibility and acceptance, alternative solutions may be offered. Fees payable if continuing service are provided. Our fees are explained here.

To find other sources of free advice visit Money Helper. It’s here to listen and give free, impartial, trusted guidance. Based around you and backed by government.

How a Debt Management Plan works

How a Debt Management Plan works

A Money Advisor will assess your situation

We'll go through your finances and work out your income and expenditure. This will help us put together a budget so you can afford all your essentials, as well as one monthly payment towards your unsecured debts.

We'll deal with all creditor contact

We'll explain the situation you're in, ask them to accept a lower monthly repayment and to freeze any interest and charges on your lending. They're not obliged to agree but we'll work to show them why it's in their interest (as well as yours) and keep you informed every step of the way.

You'll find it easier to cope

Once we've agreed a new payment plan with your creditors you should find it's easier to afford everything you need month-to-month. On average, monthly debt repayments reduce by 56% for our customers.

It can be a flexible solution

A Debt Management Plan doesn't have to be a long term solution. It can be a temporary measure to help you manage your finances until your circumstances improve. We'll review your plan every year to make sure it's still right for you and give your creditors regular updates.

Typical example of a Debt Management Plan

This average example, based on all our customers who were recommended a DMP, shows how their payments were made more affordable.

These figures are based on the averages across all Debt Management Plans arranged for customers in 2018. We assess each customer individually based on their circumstances, and payments to the Debt Management Plan are based on what is realistic and affordable. If you complete your Debt Management Plan all debts included will be repaid in full.

Personal unsecured debt


Number of lenders


Previous monthly debt repayments


New monthly debt repayments


More about Debt Management Plans

More about Debt Management Plans

Debt Management Plans are affordable for you

You will only pay an amount that's affordable and sustainable. We'll always make sure you have enough to cover your essential living costs while you're on the plan. If anything changes, just give us a call and let us know.

Credit rating

A Debt Management Plan (DMP) will negatively affect your credit score. Your details won't appear on the Insolvency Register though, as a Debt Management Plan is not a formal debt solution.

How long does it take to arrange a DMP?

Most Debt Management Plans are set up within 30 days. It's possible that a little time will be added on to the process if we need to negotiate with your creditors, but there's no need to worry about this. We'll deal with the whole process for you.

What happens to my money whilst I'm on a DMP?

We’ll pay your lenders either every month or every four weeks (depending on the payment period we agree with you). If you make your payments in weekly or fortnightly instalments, we hold the instalments until we have the full payment for each payment period before we send the money to your lenders so you may fall into arrears during this period.

You'll pay the whole debt back

A DMP gives you the chance to repay everything you owe at an affordable rate. If you complete the plan to the end, all debts included will be repaid in full.

It'll give you the breathing space you need

Sometimes all you need is some time to get on more secure financial footing, and a Debt Management Plan could give you that. It's possible to go on a Debt Management Plan temporarily. If your circumstances improve and you find you can resume your normal payments, you won't be locked into the plan.

There are other formal solutions that might be better in certain circumstances. Speak to a Money Advisor to make sure a DMP is right for you.

For further information about Debt Management Plans Read more

What happens during a Debt Management Plan


A Money Advisor will gather the information needed to assess your situation. They will explain your options and help you decide if a Debt Management Plan (DMP) is right for you.


If a DMP is the right solution for you, a Money Advisor will work out a DMP proposal.

We then ensure you read and understand the documents before signing.


Your lenders are then presented with the proposed offer of payments.

Once accepted the DMP is then set up as agreed.


We take care of everything and are always on hand to help you through your DMP.

Once your arrangement is fulfilled, you will have repaid your debt included in your plan.

Find answers to debt worries by getting your personalised report.

  • Get a simple overview of your income and outgoings
  • Learn which solutions you qualify for and how they work
  • See how we've helped others by reading customer stories
Get started
Scottish Debt Solution

The alternative to Debt Management Plans in Scotland

Debt Management in Scotland

Debt Management Plans (DMP) are available across the whole of the UK, including Scotland. Debt Management Plans in Scotland work in exactly the same way as everywhere else. They allow you to continue making repayments towards your unsecured debts by offering your lenders new, lower repayments.

Your payments will always be affordable, leaving you enough for essential outgoings like rent, food and household bills.

However, if you live in Scotland, a Debt Arrangement Scheme (DAS) may be a more suitable option than a Debt Management Plan.

Find out more about Debt Arrangement Schemes

Debt Arrangement Scheme

Debt Arrangement Scheme is available exclusively to Scottish residents. It allows you to make lower repayments towards your unsecured debts for a longer time. You'll do this through a Debt Payment Plan (DPP).

All interest and charges will be frozen on a Debt Arrangement Scheme. And, as the DPP is legally binding, your lenders can't take further action against you, as long as you keep up your repayments.

A Debt Arrangement Scheme will affect your credit rating negatively because you're lowering your monthly repayments. Your details will also be recorded in the publicly available Debt Arrangement Scheme register.

Our Customer promise

You will not be called by a call centre

Our experienced, debt advisors will only call at a time convenient for you.

We'll take care of everything

From finding balances to dealing with your lenders - we will do it all for you.

DAC looks to help everyone

We have helped over 400,000 people with a range of solutions - it's important we find the right one for you.

Get the right information and support

If you are interested or would like more information on Debt Management Plans, you can talk through your options with one of our experienced money advisors.

0161 667 7888

We will offer advice, support and a solution

Read the latest blog articles...

People in debt to be given ‘breathing space’ to get help

Posted by: Christine Walsh |

November 10 2017

Tackling your debts

The truth about bankruptcy

Posted by: Christine Walsh |

November 10 2017

Living on a debt solution

IVAs hit record high in the third quarter of 2017

Posted by: Christine Walsh |

November 01 2017

Tackling your debts

IVA or DMP – which is better?

Posted by: Christine Walsh |

October 17 2017

Tackling your debts

Based on reviews - customers who left an Debt Advisory Centre review recommend us with an average rating of 4.8 out of 5 from 561 reviews left by Debt Advisory Centre customers (as of April, 2019)