Advantages of Debt Management
Debt Management has many advantages :
- We can ask creditors to freeze or reduce the level of interest on your debts. Whilst your creditors are not obliged to do so, we have a good record of negotiating with creditors if it is clear you are unable to make the full repayments but are prepared to make a reasonable offer.
- You only make one payment per month.
- Debt Management has greater flexibility than an IVA. If your income reduces we negotiate with your creditors to try to bring your payments down to a comfortable level. Your creditors do not have to do so, but our experience shows that they understand that our main aim is to arrange to pay off your debts as quickly and efficiently as possible.
- If your income were to reduce with an IVA and your creditors did not agree to reduced payments, you could be forced into bankruptcy.
- MRA Debt Help aim to handle all communication with your creditors. Although your creditors are free to contact you, we aim to act as a liaison. If you get letters from them, please forward them to us. If they call you, then you can ask them to call us.
- With a Debt Management Plan, debt repayments reduce to a level that you can afford. We look at all of the living expenses that the government says you are legally entitled to, to work out how much you can afford to pay. For example, if you have a pension scheme, you are legally entitled to keep paying into this.
- Taking on a Debt Management Plan is a serious decision and should not be taken lightly. Debt Management will affect your credit rating in the short term, and may also affect it in the medium to long term. Debt Management can not be used for priority debts such as council tax or utility bills, or secured loans
Debt Management Testimonials
I want to thank MRA for all the advice and help you gave me when I was contemplating bankruptcy ...
Mr S., East Barnet, HertsWhat impressed me was the understanding and empathy shown by the MRA debt counsellor ...
Mr & Mrs E, West SussexThanks again for your help - its made an intolerable situation much easier.
Mrs W, from SheffieldRead more debt management testimonials.