Debt and Money Management
This section explains what you should do if you have debts that you cannot afford to pay. It explains how you can negotiate affordable payments, what can happen if you do not pay, and gives details of organisations that can help.
- Some organisations provide free and confidential help and advice. You don’t have to deal with the debts by yourself.
- Make sure your income is paid into a bank account that is not linked to your debts.
- Write a budget sheet to work out what you can afford to pay.
- Separate your debts into priority and non-priority – deal with priority debts first.
- If you do not pay your priority debts you may lose something important, for example your home or fuel supply.
- If you do not pay non-priority debt you may be contacted by a debt collection agency or get a county court judgment.
- You will default on your debt if you do not pay at the rate agreed when the agreement started. This will be noted on your credit reference file.
This section covers:
- What are the links between debt and mental health?
- What is debt?
- Who can I speak to about my debt problems?
- Do I need to change my bank account?
- How do I draw up a budget sheet?
- How do I negotiate with non priority creditors?
- Shall I tell my creditors about my mental illness?
- What can creditors do if I do not pay?
- What other options are available?
- Will I be ‘blacklisted’?
Last reviewed in February 2017. Next review February 2020.
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Contact our Advice team about mental health & related issues
0300 5000 927 Monday - Friday 9.30am - 4pm, not including bank holidays