There are hundreds of professional debt management companies out there ready, willing and able to help you.
A professional debt management company can often deal with problems quickly and the advantage they offer is that they administer payments for you - you pay your money over to them and they pass it on to your creditors. These companies are fee- charging and, as such, you will be charged for this service - typically in the region of 15% of your regular payment. However, some debt management companies may be able to negotiate better terms with your creditors which could mean the fee is worth it.
A professional debt management company can provide a huge benefit to you as they will work with you to
find the right solution and will take control for you – you’ll need to provide
all the facts from which the kind of service you can expect includes the
following:
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Your Budget:
A good debt management company will work through your finances - establish your income & expenditure and work out exactly how much money you have available to go towards your unsecured debts on a monthly basis.
You provide the information - they'll do the work for you.
Advice on negotiating with your lenders:
A good debt management company will advise and guide you an how to
talk to your lenders and what to say when explaining to them that you can`t
keep up with your repayments at their current level. It will also help you work
out fair payments based on how much you owe each lender, to enable you to make
a fair offer and proposal to each lender. |
Negotiating With Your Lenders On Your Behalf
Lenders are now much more willing to listen to borrowers' difficulties since the onset of the credit crunch but few of us would relish the thought of dealing with creditors ourselves.
This is where debt management companies come in ... by carrying out
negotiations with lenders on your behalf, rather than simply helping you
prepare for them. This will include handling all paperwork and phone calls, taking
over all correspondence with your lenders, renegotiating with your lenders when
necessary, talking to your lenders if your financial circumstances change
further and this means your revised repayment plan is no longer appropriate, distributing
payments among your lenders - so you make just one payment per month to the debt
management company, who will then pass on the agreed sum to each lender.
Advice When You Need It
Helping you with any financial issues you may come up against.
Save Hassle
By using a debt management company you will save yourself the hassle of dealing with all of your different lenders and you'll also save a lot of time because you only need to explain your situation once (to your debt adviser).
When using a debt management company you will only have to make one affordable monthly payment by Direct Debit and we distribute the funds between your creditors according to the terms of your plan.
Your personal adviser is available to offer expert help and advice whenever you need it. They can answer any questions you may have for the duration of your plan, and they can talk to your lenders to renegotiate a new deal if your circumstances change (for better or worse) while your plan is ongoing. |
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These are just examples of the benefits of a professional debt management company - if you want to know more about what a specific debt management organisation can offer, just shop around, call or email them and find out.
Remember that as you will be paying for this professional service and as such you must make sure it's right for you - don't just go for the cheapest! The key to choosing a debt management company is to look at the service, support and offering to make sure it full-fills YOUR needs. The service is much like that of an accountant or solicitor so you should shop around to find one that is most able to address your needs.
Also remember that although you will pay a fee for this service a decent debt management company could negotiate much better terms than you could do yourself and so in paying you may save your self money!
