How a Debt Management Plan affects your credit file
The plan itself is not recorded — but what happens to each account is. Here is what lenders will see, and for how long.
Applies to: England, Wales & Northern Ireland
What to do now
- Get your statutory credit reports free from Experian, Equifax and TransUnion.
- Note the default date on each account — Find My Debts helps you list them.
- Ask your provider how each creditor is reporting your payments.
What lenders see
- Arrangement to pay or partial payment markers. These show you are paying less than the contract required, by agreement.
- Arrears and missed payment markers for months before the plan was agreed.
- Defaults. Under the Information Commissioner’s principles for reporting arrears, accounts are often defaulted when you are around three to six months behind. A creditor may default an account during a DMP.
There is no separate “DMP” entry, and a DMP is not a formal insolvency, so it does not appear on the Individual Insolvency Register.
The six-year rule
A default is removed six years after the default date, whether or not the debt has been repaid. That has an unexpected effect: an early default can be better for your file in the long run than years of arrangement markers, because the six-year clock starts sooner. On a long plan, defaults can disappear while you are still paying. Arrangement markers on accounts that have not defaulted can stay for as long as the arrangement runs, and for some time after.
Getting credit during a plan
Most providers’ terms say you should not take new credit while in a plan, and lenders are unlikely to offer much while your file shows defaults or arrangements. Borrowing more can also break the plan. There is no legal ban, unlike the restrictions on borrowing more than £500 in bankruptcy or a DRO.
Compared with other options
| Option | Credit file | Public register |
|---|---|---|
| DMP | Account-by-account markers; defaults 6 years from default date | No |
| IVA | 6 years from the start date | Yes, until it ends |
| DRO | 6 years from the order date | Yes, until 3 months after it ends |
| Bankruptcy | 6 years from the bankruptcy date | Yes, until 3 months after discharge |
Rebuilding afterwards
Make sure every account is marked settled or partially settled once paid, register on the electoral roll, and check your reports for errors. If an entry is wrong, ask the creditor and the credit reference agency to correct it. Settled and partially settled markers.
This page explains how the solution works. It is not a recommendation, and it cannot tell you whether it suits you — a free, regulated debt adviser can look at your full situation.
You never have to pay for debt advice. MoneyHelper (government-backed), StepChange, National Debtline and Citizens Advice all give free, confidential advice with no obligation.
Common questions
Does a DMP show on my credit file?
Not as a plan. Each creditor reports its own account, usually with arrangement or partial payment markers, and accounts are often defaulted.
How long does a DMP stay on my credit file?
Defaults stay for six years from the default date. Arrangement markers on accounts that have not defaulted can last for the life of the arrangement.
Is a DMP on a public register?
No. A DMP is informal and is not recorded on the Individual Insolvency Register.