Persistent Debt Help & Support
- Write off 75%* of unaffordable debt
- One lower monthly payment
- Stop creditor hassle and bailiffs
- Access mental well-being services
Your credit rating may be affected if you opt for a debt solution.
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Get information today on your available options
What Counts As Persistent Debt?
Persistent debt is when you’ve been paying more in interest and charges than off your actual balance for at least 18 months. It usually happens when you make minimum payments on credit cards, store cards or catalogue accounts over a long period of time.
It’s more common than you might think, and many people don’t realise they’re in persistent debt until their lender gets in touch. The longer it goes on, the more it costs you overall, even if you’re keeping up with payments each month.
If you’ve had a letter or warning about persistent debt, it’s a sign that your balance isn’t going down, and now might be the right time to get support.
As seen on:
Why You Might Receive A Persistent Debt Letter
Lenders are required by the Financial Conduct Authority (FCA) to step in when they spot signs of persistent debt. If you’ve had a letter, email or message from your lender, it’s because you’ve been making minimum payments for 18 months or more, without reducing the actual debt.
You could receive a series of letters over time like the following:
- At 18 months: Your lender will explain that you’re in persistent debt and encourage you to pay more each month if you can.
- At 27 months: They’ll remind you that interest is still building, and that action may be needed soon.
- At 36 months: If things haven’t changed, they may suspend your account or offer a repayment plan.
These letters are not there to scare you; they’re meant to prompt action. And if increasing your payments isn’t realistic, that’s where PennyPlan can help.
We Help With Multiple Types Of Debt
*Mortgage debt can be included if you no longer own the property in question.
- Credit Cards
- Loans
- Overdrafts
- Store Cards
- Mortgages*
- Catalogues
- Council Tax
- Benefit Debts
- Utility Bills
- Payday Loans
Example Of An IVA
UNSECURED DEBTS
Your Monthly Repayments:
Find out for FREE what debt help is available to you
Subject to creditor acceptance. Payment subject to individual circumstances.
Credit Rating may be affected. Fees apply, subject to individuals circumstances.
Reasons To Choose PennyPlan
- Stop all interest & charges
- Write off debt
- Access well-being services
- Reduce monthly payments
The Risks Of Staying In Persistent Debt And How To Break Free
Persistent debt can feel endless, even when you’re doing your best to keep up with monthly payments. But if you’re only covering the interest, the actual balance stays the same, and over time the debt becomes more expensive and more stressful.
Here’s what can happen if the cycle continues:
- You pay far more than you borrowed, without reducing the debt
- Your account could be suspended or closed after 36 months
- Your credit score may be affected, especially if you start to fall behind
- The stress builds, with no clear end in sight
But here’s the good news, you don’t have to face it alone.
We help people explore affordable ways to deal with persistent debt for good; from setting up a Debt Management Plan (DMP) to finding out if an Individual Voluntary Arrangement (IVA) or Debt Relief Order (DRO) might be the right fit.
Every situation is different. We’ll help you understand your options and move towards a plan that actually helps you make progress.
Could A Persistent Debt Solution Help You?
If you’ve been contacted by a lender about persistent debt, or you’re struggling to make more than the minimum payments each month, it’s time to explore your options.
Our aim is to help you find a manageable, affordable way forward; one that reduces the pressure and gives you a clear path out of debt.
What works best will depend on your personal situation. That’s why our friendly advisers take the time to understand your circumstances and explain the support available, from flexible repayment plans to formal debt solutions if needed.
IVA
Individual Voluntary Arrangement
An IVA consolidates your debts into one affordable plan, with some persistent debt potentially written off.
DMP
Debt Management Plan
A repayment plan that combines debts into one monthly payment. Interest can be reduced or frozen, helping ease financial pressure
DRO
Debt Relief Order
A debt reduction programme for those on low income. Certain debts can be cleared, with no ongoing payments required during the DRO.
Find Out For FREE What Debt Help Is Available To You
Get Help With Persistent Debt Today
We’ve helped people across the UK take control of their debts and get their lives back on track. Our trained advisers will assess your individual situation and guide you towards the best way to manage and resolve your finances.
Do I Qualify
For an IVA?
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Get information today on your available options
Get Support With Persistent Debt
If you’re stuck in persistent debt and struggling to make progress, now could be the right time to look at your options. Whether you’ve had a letter from your lender or just feel like the balance never goes down, you’re not alone and you don’t have to figure it out by yourself.
PennyPlan offers free, confidential advice that’s tailored to your situation. We’ll help you understand what support is available and guide you toward a solution that feels realistic and affordable.
If you’re ready to take the first step, we’re here to help you move forward, get in touch today.
- One lower monthly payment
- Write off 75%* of unaffordable debt
- Freeze interest & charges
- Stop legal action including bailiffs
- Receive FREE well-being sessions
Can Persistent Debt Be Included In An IVA Or DMP?
Yes, if you’re in persistent debt, it’s often possible to include it in a formal debt solution like a Debt Management Plan (DMP) or an Individual Voluntary Arrangement (IVA).
If persistent debt is just one of several financial pressures you’re dealing with, we’ll help you understand whether a DMP, IVA or another solution could help you regain control and guide you through the process at your pace.
Tackle Your Debt And Your Mental Health In One Place
Our team are committed to getting your finances and well-being back in top condition
Apply for our eligibility check
Find out if you match the minimum criteria we require to enter you into one of our IVA plans
Speak to our debt specialists
Speak to our friendly debt specialists, who will explain all the options available to you.
Choose your debt solution
Now you have all the options available, you can make an informed decision that is right for you and your family.
Do I Qualify
For an IVA?
What Our Customers Say About Us
Maria
3 days ago
PennyPlan were extremely professional and genuinely caring, I am very happy that I made the call and now have a plan in place and peace of mind. From the first contact to the signing of the agreement it was straight forward and simple plus the staff really are exceptional in the way they listen and understand’ I couldn’t have asked for a better company.
Emily
4 days ago
For over a decade I have kept my money worries to my self away from friends and family one phone call with Leah and I had laid it all bare without a second thought nothing shocked her and nothing wasn’t sortable I’m forever grateful I stumbled across this company and no longer have to worry about money on my own. Highly recommend!!
Daniel
4 days ago
PennyPlan offered insightful, professional and empathetic support throughout my insolvency. Declan in particular was friendly, personable and knowledgeable, and a massive help throughout the process. They offer a no pressure service and allow you to make the best decision for yourself. I highly recommend these guys for anyone struggling with debt.
Mark
1 week ago
I was hesitant in applying for an IVA, But my mind was put at ease on the first call. The whole process was explained to me with complete care and understanding and I didn’t feel judged at all. Since being accepted for the IVA my mental health has improved so much and I now don’t worry about how I am going to put food on the table each week.
Persistent Debt FAQs
Persistent debt is when you’ve been making minimum payments on a credit card, catalogue account or store card for 18 months or more; and have paid more in interest and charges than toward the balance. It’s a warning sign that you’re stuck in a cycle where the debt isn’t going down.
Persistent debt alone won’t automatically harm your credit score; especially if you’re making payments on time. However, if you’re unable to increase payments or your account is suspended, this could affect your credit file. The longer the debt continues, the more it can limit your financial flexibility.
Lenders are required by the Financial Conduct Authority (FCA) to contact you after 18, 27, and 36 months of persistent debt. These letters are meant to encourage action; either by increasing payments or seeking support.
It’s not a good idea to ignore it. After 36 months of persistent debt, your lender may suspend or close your account. If you can’t afford to increase payments, it’s worth speaking to someone about your options.
Yes. We offer free, confidential advice tailored to your situation. Whether you’re unsure what to do next or already behind on payments, we’ll help you understand your options and take the next step with confidence.
