Debt Management Plan (DMP)
A Debt Management Plan is an arrangement for repaying certain debts over time. It is different from formal insolvency solutions such as an IVA, DRO or bankruptcy.
A Debt Management Plan, usually called a DMP, is a repayment arrangement under which regular payments are made towards eligible debts. It is generally used for unsecured non-priority debts.
How a DMP differs from formal insolvency
A DMP is not the same legal process as an IVA, DRO or bankruptcy. Creditors do not lose their underlying rights merely because a DMP exists, although providers may ask them to accept reduced payments and freeze interest or charges.
What to understand before using one
- Which debts can and cannot be included.
- Whether interest and charges will continue.
- How long repayment may take.
- What happens if your income changes.
- Whether priority debts need separate treatment.
MoneyHelper explains the main options and can direct you to free debt advice. A regulated adviser can assess whether a DMP or another route is appropriate for your circumstances.
Primary sources
- GOV.UK: Options for dealing with your debtsPrimary or public authority source, checked 2 November 2026.
- MoneyHelper: Options for clearing your debtsPrimary or public authority source, checked 2 November 2026.
- FCA: Unauthorised or unsuitable debt advicePrimary or public authority source, checked 2 November 2026.