Going ahead with your token payment plan (TPP)

You have made a great start by contacting us about your situation. We think it is really important you fully understand your options. So, take time to read all the information before you go ahead.

What we need from you

Proof of your income: All dated within the last three months

This depends on how you are paid and how you have already shared details of your income with us:

• If your income can change each month: Send us your three most recent payslips. Please make sure these are dated in the last three months
• If you are paid weekly: We will need four payslips or bank statements covering four weeks
• If your income does not change each month and the amount you told us about is right: You can just send us one month of proof. Please make sure this is dated in the last three months
• If there is a reason that your proof does not match your budget, please let us know why. We will take it into account. And we will check that your TPP payment is still affordable before you start your plan
• You can give us payslips, benefit letters, or bank statements as proof

If you are emailing or posting your information to us: We need a copy of each payslip and benefit payment letter showing your name and the payment dates.

It is fine to send us paper or online bank statements that show your income.

Details of your debts

For each creditor we need:

• Their name
• Their postal address
• Their account number
• The amount you owe each creditor

If you are emailing or posting your information to us: Please send us copies of statements from your creditors. Or write a list covering all the details listed above.

Your signed TPP agreement

It is important you read the TPP agreement carefully before you sign it.

If you are posting your information to us: Please return a copy of your signed agreement to us. You should keep one for your records.

Your completed Direct Debit mandate form

We use this to collect the agreed payments from your bank account every month.

Tell your creditors you are getting our help

Please contact your creditors and ask for time to deal with your debts.

Tell them you are getting our help and ask them what "forbearance" is available.

This means you are asking your creditors to hold back from forcing you to pay your debt, or taking further legal action.

They will usually:

• Stop their collection process
• Give you time to set up your debt solution
• Leave you alone for 30 days after you tell them you are getting help

Give them a call or send them an email. There is a template in the 'Your next steps' section of your Personal Action Plan.

If you have already applied for Breathing Space or a moratorium, then your creditors will have been alerted.

Get ready to start your token payment plan

We will contact you once we have everything we need to set up your plan. We will share:

• The start date of your plan
• The date when your Direct Debit payments will be taken
• A copy of what we are sending to your creditors

You will need to cancel Direct Debits or standing orders for debts included in your TPP. You must do this before the start date.

Make sure you don't cancel your usual payments to your household bills. Such as your:

• Ongoing mortgage
• Rent
• Council tax
• Secured loans
• Hire purchase payments

We will contact each of your creditors and tell them you are starting a token payment plan with us. They get a copy of your budget and a list of your creditors. So they will know you are paying what you can afford and that the payments are fair. We also let them know when they will get the first payment from us.

What happens when you send my payment offer to my creditors?

We have got over 25 years’ experience in helping people repay their debts. Over this time, we have built good relationships with creditors. They know how we work and are usually happy to work with us.

Most creditors will stop adding interest and charges once you are on a plan with us. But some may continue to add these charges.

They should not return any payments. So even if they reject the payment offer, they should still credit the money to your account. But they can still take action to recover the money you owe.

Sometimes they may ask you to pay more than they are getting through your TPP. You should not pay more than you can afford.

Do not feel pressured. Just carry on as normal with your TPP. If your creditors have any concerns about your payments, ask them to contact us.

To find out what your creditors can and cannot do, read our guide to dealing with creditors.