If you are no longer able to contribute towards your monthly payment, you might want to consider getting advice from a debt charity such as stepchange.

A debt charity could suggest a number of alternate solutions and advice based on your financial situation. 

Alternatively, you may look to a company such as Payplan. In this article I have included all the necessary information you need to know about Stepchange and Payplan.

What is the role of PayPlan in a debt management scheme?

PayPlan is one of the largest debt advice providers in the UK. 

They offer free help to their customers to help them get rid of their debt problems. Payplan is funded through contributions from the credit industry and commercial partners.

Moreover, they provide freephone debtline and debt help tools through their website.

How can StepChange help with a DMP?

If you have a Debt Management Plan with a commercial debt management company, your monthly payments could be going to the debt management company as fees. 

However, switching to a Stepchange Debt Management Plan will make all your monthly payments go towards paying your debt. This could help you pay off your debts faster. 

What services can you avail through PayPlan?

You could get advice on any type of debt through PayPlan. Moreover, your financial situation and the advice given remains strictly confidential between you and the advisor. 

Moreover, you will be able to track your debt solution through online processings. This could reduce the amount of calls you get from your creditors.

If you are self employed, Payplan could help with other debt solutions including: Debt Management Plan and an Individual Voluntary Arrangement (through one of their sister companies, PayPlan Partnership Limited or PayPlan Bespoke Solutions).

Furthermore, PayPlan could help you if you apply for a Debt Arrangement Scheme or for Sequestration. 

Is opting for StepChange a good idea?

StepChange could help you organise Debt Management Plan.

You might then be able to consistently make monthly payments and pay off your debts on time.

What is the difference between StepChange and PayPlan?

While both offer free debt advice and debt management plans, there are some differences between the two. 

Payplan provides help with a large number of debt solutions, such as IVAs (through their partner companies).

PayPlan is a company, funded by donations from the credit industry, while Stepchange is a registered charity.

What are the similarities between StepChange and a PayPlan?

PayPlan and StepChange both help people deal with debt problems in the UK, at no cost to the individual.

They provide confidential debt advice which is for free. The advice could be taken through call or online. 

Moreover, they are a 100% free service for the people residing in the UK.

Frequently Asked Questions (FAQs)

How is PayPlan funded?

PayPlan is funded through donations from the credit industry. These pay for their Debt Management Plan services.

This way they do not charge their clients, they operate for free. 

Is StepChange a charity?

StepChange is a debt charity. They are a non profit organization that provides free debt advice for individuals with debt problems. 

They trade as:

  • StepChange Debt Charity
  • StepChange Debt Charity Scotland
  • StepChange Voluntary Arrangements
  • StepChange Financial Solutions

Is PayPlan free of charge?

Yes, PayPlan is 100% free of charge. This is because they are funded through donations from the credit industry.

Is a StepChange free of charge?

Yes, StepChange is free of charge. They help with providing free debt advice and solutions for your debt problems. This includes Debt Management Plans.

About the author

Scott Nelson

Scott Nelson is a financial services expert, with over 10 years’ experience in the industry, including 6 years in FCA regulated companies. Read more
×Find your best debt solution SEE IF YOU’RE ELIGIBLE