Key Information and Fees

Financial management covers unsecured debts only.

While our advice is free, fees are payable if a debt solution is provided.

A key benefit of financial management is the ability to only repay what you can afford each month. A consequence of this is that it will take longer to repay your debts, and creditors do not have to agree to freeze interest and charges. You will receive allowances to pay secured and priority debts.

Credit Rating

Entering into a plan means contractual payments will be missed and your debt and repayment term could increase. Your credit rating will be impaired and it may be harder to obtain credit in the medium to long term as records are retained by credit reference agencies for six years.

Cooling Off Period/Right to Withdraw

On receipt of your first payment we will issue you with a key features document and estimated fees schedule. If for any reason you wish to cancel we offer a seven-day cooling-off period from the date of said letter in which we offer a full refund of any fees which we have taken.

Financial Management Fees

An Initial Fee is the set up cost of your plan and is equal to two months disposable income, subject to a minimum of £295 and will be retained from your initial payment(s). Whilst you pay our initial fee, monies are not distributed to your creditors and this retained payment may place you in arrears.

A Monthly Fee payable for our services will be charged thereafter, equal to 17.625% of your monthly agreed disposable income, subject to a min of £35 and a max of £100.

Initial fee

The Initial fee covers the work involved in setting up your plan, including:

• Reviewing draft payment programme.
• Preparing the financial statement.
• Calculating reduced monthly payments.
• Talking to your creditors and negotiating the terms of the management plan.
• This fee doesn't go towards your debts, so you'll go into arrears (or further into arrears) for the first two months. You will start repaying your unsecured debts with your next payment.

Monthly fee

From the third month onwards, we charge a monthly management fee. This fee covers the month-to-month running of your plan - including:

• Distributing payments to each of your creditors.
• Handling correspondence from your creditors.
• Any help or advice you need from our customer support team.
• Putting together and sending your statements.
• The fee also covers us reviewing your personal circumstances on a regular basis, or any other time your circumstances require it. If your situation has changed, Harrington Brooks can talk to your creditors about adjusting your monthly payments accordingly.

Example Cases With Fees Included.

Debt: £19,139 | Was paying: £534/month | Now paying: £200/month

Client had separated from her partner and then found out she was pregnant. She was working but was still in her probation period so was not entitled to full maternity pay. Due to the two large changes in her circumstances, coupled with the increase of expense of being a single parent with a new born meant that her finances went out of control. She knows this can't continue and this is a realistic option for clearing her debts. A consolidation loan is not an option as she has nothing to secure it against and the debt is too large for an unsecured loan. Fees payable; setup fee £400, monthly management fee £35.

Debt: £14,293 | Was paying: £641/month | Now paying: £300/month

Client took credit while he was with his partner, and with both wages, they could maintain repayments. They have now separated and because the debts were taken out in just his name he has to make the repayments alone to 12 different creditors. Living just by himself, his living costs has also risen. To help make ends meet, the client started a second weekend job, but was still struggling. The client wants to repay the debts, but as things are, cannot see an end in sight. On financial management his payments are affordable and his debts are reducing every month. Fees payable; setup fee £600, monthly management fee £53.

Terms & Conditions apply.

View Terms And Conditions