a simple and effective way to pay your non-priority creditors

a system by which you pay down your outstanding debt through monthly deposits to an agency that represents you

a system, where consumers who are overwhelmed by debt, seek the services of a debt management and credit counseling service

a way for struggling debtors to find their way out of debt

a way of restructuring your unsecured debts to more

(DMP) allows you to make reduced repayments to your lenders (creditors) over a number of years. Payments are made until the debt is cleared in full or until you are able to make the full repayments again. The repayments are based on what you can afford after a realistic income and expenditure has been drawn up.

This is a repayment scheme administered by Consumer Credit Counselling Service for people unable to pay their creditors the full contractual payments.

Most commonly offered through a credit counseling agency. A DMP consolidates a consumer's unsecured debt into one monthly payment. There are several benefits gained by joining a debt management program. Most credit card companies reduce or in some instances eliminate interest rates. With reduced interest rates more money is applied directly to the principal and in turn the consumer is out of debt quicker than on their own, saving them a significant amount of money. For individuals that are behind most creditors will re-age accounts to a current status after several on time payments through a DMP putting an end to late and over the limit fees.

debt management plan can help if you are having short-term debt problems, and the debts are relatively low in amount. In a debt management plan, you come to an informal arrangement with your creditors to renegotiate your repayments. A debt Management plan is NOT a debt solution. You are required to pay every penny of your debt back to your creditors. And because the Debt Management Company charge very high fees and your creditors continue to apply interest and charges, even though you are paying money each month your debt may not reduce. A debt management plan may not be a DEBT solution, but is does show your creditors that you are serious about repaying your debt. Therefore some creditor chasing pressure on you WILL diminish, allowing you to modify your behaviour. You are still left with your debts, which may be increasing each month, hence we advise that you should only consider Debt Management as a last resort and only when advised by independent experts such as ourselves.

A repayment scheme to pay off part or all of your debts.

A plan that helps consumers repay their debts and helps creditors collect the money owed them. Usually put together by a Credit Counseling Agency.

A Debt Management Plan (DMP) is a method used in the United States and elsewhere for paying personal debts (which typically have gotten out of control in the sense of payments due taking too large a portion of income, or even exceeding it) that involves cataloguing all the debts, assessing income and budget, and re-negotiating interest rates and payments with the lenders, based upon evidence that the result will be a higher liklihood of collection by the lenders. The simplest form of such a plan is done by creating a budget for paying debts, and then paying all the minimum payments on time from the fund created by the budget, using all extra funds each month to make pre-payments on the highest-interest debt first (assuming no pre-payment penalty exists), not taking on new debt until all the debt is paid. In cases where the budgeted debt payment is lower than the minimum payments due, payments may have to be re-negotiated with the lenders.

a service provided by the Newfoundland and Labrador Association of Credit Counselors

a service provided by the Ontario Association of Credit Counselors

a service provided by the Saskatchewan Association of Credit