Definition A unique strategy developed to help a debtor manage their debt. This strategy is usually developed and implemented by an outside company or organization on behalf of the debtor, usually bec [..]

involves various steps that aim at the repayment of debt over the shortest period possible. Debtors can either do their best to make timely repayments or they will be ordered by the court to do so. Ei [..]

A Debt Management Plan (DMP) is a repayment scheme offered by a debt management company. They will negotiate your repayments over a number of years to enable you to make payments to your creditors more affordable. This affects your credit rating but does help get hold of finances that have become uncontrollable.

Often used in relation to consumer debt to describe rescheduling, consolidation and other procedures short of formal insolvency that are offered by commercial debt management companies.