Your unsecured debts can be included on a Debt Management Plan – these are debts which aren't secured against any items. Here are a few examples:
- Unsecured personal loans
- Doorstep loans
- Payday loans
- Car finance (if you no longer have the car)
- Catalogue credit
- Store cards
- Credit cards
- Bank account overdrafts
- Gas, electric or water bills (from a previous address and supplier)
- Rent arrears from a previous property
- Outstanding debts from a service no longer being used (a nursery, for example, or a gym)
- Disconnected mobile phone debts
What debts can't be included?
The following debts cannot be included on a Debt Management Plan:
- Secured loans
- Council Tax
- Child Support Agency (CSA)
- Magistrate's Court fines
- HMRC debts
- Hire purchase/car finance
These debts should be paid as a priority over your unsecured debts because there are more serious consequences if you fall behind. Your regular payment to the Debt Management Plan will be based on what is left over from your income after you have paid all these “priority” debts and your other essential living costs. So they should be affordable as a result of your unsecured repayments reducing.
Bear in mind that this isn't a full list. Talk to one of our debt advisors if you have any questions about the money you owe.