Debt Correct

Terms and Conditions

Terms of Trading

The agreement between us and you is made on the following terms:

‘the Company’ means Debt Correct LTD, Suite 4, 1st Floor, Blue Pit Mill, Queensway, Rochdale OL11 2YW.
‘the Client’ means the person named overleaf.
‘the Unsecured Creditors’ means any and all your creditors whose details you will provide to us in accordance with clause 5, where the debt is not secured against the value of any property.
‘Priority expenditure’ or ‘Priority debts’ mean outgoings or debts that carry serious consequences if you do not meet the payments.  These include but are not limited to rent, mortgages, secured loans, hire purchase agreements, council tax, TV licence, gas and electricity bills, court fines, income tax, national insurance and Value Added Tax.
‘Monthly Payment Plan' means a plan of repayments produced by us in accordance with clause
‘Fees’ means our fees under this agreement in accordance with clause 6.
‘Period’ means the period during which the Monthly Payment Plan is in operation
‘Cleared funds’ means payments made by you which have passed through the banking system, have been received by us and have not been recalled by your bank. 

You request us and we agree to provide you with a debt counselling advisory and adjusting service in accordance with these Terms of Trading. You authorise us to negotiate on your behalf with your Creditors.
 
3.1. We will consider the state of your finances, including your income, expenditure, debts, loans, credits and assets. We will calculate your disposable income, having first calculated the amount reasonably necessary as your living expenses.
3.2. In consultation with you we will produce a Monthly Payment Plan by which you can pay off your Creditors out of your disposable income at rates you can afford. The Monthly Payment Plan will let you make monthly payments to us and will take account of your creditors and of our fees. It will not take account of any matters you have not told us about in accordance with clause 5. It will also take account of the differing requirements of your Creditors, if there is more than one.
3.3. We will negotiate with your Creditors and attempt to agree repayment terms with them of the amounts outstanding. In doing so we shall use the Monthly Payment Plan, and we shall ensure that the periodic payments that we agree with your Creditors on your behalf do not exceed your disposable income as calculated by us for the same period.
3.4. We shall attempt to agree with your Creditors, where appropriate, that they freeze their interest rates and that they suspend or withdraw enforcement proceedings issued in connection with your agreements with them.
3.5 We shall keep you informed of the outcome of our negotiations with creditors and in particular will notify you in writing if a particular creditor refuses to deal with us, will not accept the terms of the Debt Management Plan or if your payments will be less than the amount of interest charged by your creditors.
3.6. We shall make payments to your Creditors in accordance with the Monthly Payment Plan. 
3.7. Should your circumstances or any other relevant matter change during the period, we shall, in consultation with you and with your Creditors, consider the Monthly Payment Plan and if necessary shall make changes to it in agreement with you and with any Creditors concerned.
3.8. We can review the Monthly Payment Plan in consultation with you every six months whether or not relevant circumstances have changed.
3.9. On request we can send you a statement showing your debts still outstanding for which there will be no additional charge. 

4.1. We cannot insist your creditors refrain from contacting you or guarantee acceptance of a reduced payment. We cannot guarantee they will stop or reduce your interest charges. If your creditors do not agree then this may mean that you will repay the debt over a longer period of time which will increase the total amount to be paid.
4.2 We cannot guarantee that any threatened or proposed action will be stopped. Your lender may issue a default notice and we cannot guarantee to prevent this from happening.  If these actions are taken by your creditors they may incur costs which are added to your debt.
4.3. We cannot maintain your Debt Management plan if you fail to make your agreed monthly payment within 7 days of your payment plan. (Unless you have made a prior arrangement).
4.4. We cannot alter your plan once we have submitted your full financial plan to your creditors unless there is a change to your financial situation.
4.5 We cannot include priority debts within your Debt Management Plan and it is therefore important that you continue to meet these.

5.1. Complete and return the enclosed documents
5.2. Provide a full and accurate financial statement including details of all your creditors
5.3. Make your monthly payment to us on your agreed due date
5.4. Respond promptly to any phone calls or letters from Debt Correct to ensure we can give you the best service
5.5 Make payment in respect of all priority debts and priority expenditure
5.6 Do not ignore correspondence or contact from your creditors.  You may instruct your creditors to contact us to enable us to deal with them directly on your behalf. 

6.1. The first two monthly payments of your debt management plan are retained by us as our fee, your creditors will be aware of this as we will be in negotiation with them. We write to your creditors, arrange your plan and manage your ongoing monthly payments. We retain Seventeen and a half per cent or Twenty five pounds of your monthly payment as an administration charge to distribute your monthly payments and manage your plan. Note these charges are included in the payment plan and are not additional costs.
6.2. You have the right to cancel this agreement within Fourteen days. If you have paid an initial fee, this will be refunded apart from any deposit made.  After Fourteen days you can cancel the agreement at any time by giving us Fourteen days notice and we will be entitled to retain any fees paid or due within the Fourteen day notice period.
6.3. We will provide you with estimates of the duration of the plan, the monthly payment and the total fees payable.  If there is a significant difference between these and the final confirmed amounts, you will be able to cancel the plan.
6.4. If you cancel outside your cancelation period we reserve the right to process the payment at an earlier date.
6.5 If a cancelation is made inside the cancelation period but work has started on the account we reserve the right to charge for work done on the account as we see fit. 

7.1. Your welcome pack confirms the estimated term of your contract.
7.2. We can cancel our contract if payments are not received from you within seven days of the agreed due date as specified in your confirmation letter.
7.3. We can cancel our contract if you have knowingly failed to provide full and accurate information to allow us to negotiate with your creditors.
7.4. We may terminate this agreement in the event of circumstances beyond our control which prevent us from providing the services within a reasonable period of time.

8. Enclosed Documents give statement to estimated term of contract, amount you will pay based on the estimated balances you provided. We will ensure we verify all balances in writing with your creditors before making any payments. 

9. Complaints can be made at any time if you are not happy with our service, you have the right to complain. This can be done by writing to us direct which follows our complaints procedure.  

10.1. We are committed to safeguarding your security and privacy.
10.2. Save as otherwise set out in these Terms or agreed by you, we will keep confidential (a) any personal information and other data ( together, ‘Personal Information’) you provide in relation to the Claim and (b) the subject matter of the Agreement; and will not use such Personal Information except for the purpose of performing our obligations under the Agreement.

Contact us for more information