People on debt management plans are taking one month longer to pay their debts.

The average length of time for paying off a debt management plan is usually twelve years and two months but the time is increasing as debt becomes larger.

Debt consolidation is a way of condensing a number of debts into one affordable monthly debt management plan.

People are becoming increasingly interested in debt management as it puts and end to the mirage of interest and charges accrued from missed payments.

The average debt of someone seeking debt management is normally around £26,537 on a gross income of £23,416. Living costs normally amount to £1,078 per month which leaves around £229 of disposable monthly income to contribute towards a payment plan.

People also feel safer with a debt management plan as it provides the reassurance that their utility bills/mortgage will be unaffected. With debt management, primary bills take priority over payments on any unsecured debt.

Debt consolidation through a debt management plan is a popular choice amongst women with over 58% choosing this method of debt repayment. Around 42% of males opt for debt consolidation. The average age of people seeking debt management is around 43 years.

The constant battle to make payments to multiple creditors can cause ‘debt stress’ when an income only stretches to minimum payments. This subsequently results in further borrowing and the debt tree begins to branch out in too many directions.

Bankruptcy has lost a lot of its stigma and has become a familiar word in today’s society. People are no longer afraid to go through the process of bankruptcy and many see it as a way of clearing their past mistakes and starting again.