Debt Advice & Support

Debt can affect anyone. Financial difficulties may arise because of unexpected life events, illness, disability, family changes, housing problems, unemployment, rising living costs, caring responsibilities, or periods of reduced income.

Many people experience debt at some point in their lives and seeking support should never be seen as a personal failure.

Right First Time UK aims to provide balanced, accessible, and supportive information to help individuals and families understand debt, financial rights, legal protections, available support services, and practical steps that may help improve financial stability.

The earlier support is accessed, the more options may be available to resolve difficulties and prevent situations from becoming more serious.

Everyone deserves dignity, respect, fair treatment, and access to support during financial hardship.

Understanding Debt

Debt occurs when money is owed to another person, organisation, company, lender, landlord, utility provider, or public body.

Common types of debt include:

• Rent arrears
• Mortgage arrears
• Council tax debt
• Utility arrears
• Credit card debt
• Personal loans
• Overdrafts
• Benefit overpayments
• Tax debts
• Court fines
• Catalogue debt
• Buy Now Pay Later agreements
• Child maintenance arrears

Debt can affect people differently depending on:

• Income
• Health
• Family circumstances
• Housing situation
• Employment
• Disability
• Existing financial commitments

Debt problems can sometimes feel overwhelming, but support is available.

Financial Rights & Legal Protections

Several important laws, regulations, and policies help protect people experiencing debt problems.

These include:

• Consumer Credit Act 1974
• Financial Services and Markets Act 2000
• Consumer Rights Act 2015
• Equality Act 2010
• Human Rights Act 1998
• Welfare Reform Act 2012
• Debt Respite Scheme (Breathing Space) Regulations 2020
• Financial Conduct Authority (FCA) Consumer Duty
• Care Act 2014
• Children Act 1989
• Domestic Abuse Act 2021

These protections may help support:

• Fair treatment by creditors
• Protection from unfair practices
• Access to debt advice
• Vulnerable customer protections
• Disability-related adjustments
• Safeguarding considerations
• Consumer rights

Understanding your rights may help you make informed decisions when dealing with debt.

Do Not Ignore Letters, Notices or Correspondence

One of the most important steps when experiencing debt difficulties is not ignoring letters, notices, emails, or telephone contact from organisations you owe money to.

Ignoring correspondence can sometimes lead to:

• Additional charges
• Escalation of recovery action
• Court proceedings
• Enforcement action
• Increased stress and anxiety

Many organisations may be willing to discuss support options if contacted early.

Opening letters and seeking advice quickly can often improve outcomes.

Seek Advice Early

The earlier support is accessed, the more opportunities may be available to resolve problems.

Early advice may help people:

• Understand their options
• Prevent debt increasing
• Access repayment arrangements
• Protect housing stability
• Prevent enforcement action
• Improve financial wellbeing

Debt problems rarely improve by themselves, but many situations can be managed successfully with appropriate support.

Seeking help is often one of the most positive steps a person can take.

Keep Records & Financial Documents

Good record keeping can be extremely important.

Helpful records may include:

• Payment receipts
• Bank statements
• Letters and notices
• Emails
• Benefit decisions
• Rent statements
• Council tax bills
• Utility bills
• Repayment agreements

Keeping records may help if:

• Decisions are challenged
• Complaints are made
• Payment disputes arise
• Debt advice is sought
• Court proceedings occur

Written evidence can often help clarify circumstances and protect individuals when disagreements occur.

Ask About Repayment Plans

Many creditors may be willing to discuss repayment arrangements if they understand a person's circumstances.

Possible options may include:

• Reduced payments
• Temporary payment arrangements
• Payment plans
• Breathing space referrals
• Hardship support
• Payment holidays in some situations

People should never assume that support is unavailable without asking.

Communication is often an important part of resolving debt problems.

Priority Debts & Non-Priority Debts

Some debts may have more serious consequences if ignored.

Priority Debts May Include:

• Rent arrears
• Mortgage arrears
• Council tax debt
• Court fines
• Child maintenance
• Gas and electricity arrears
• Tax debts

These debts may affect:

• Housing stability
• Utility access
• Legal obligations
• Family responsibilities

Non-Priority Debts May Include:

• Credit cards
• Personal loans
• Store cards
• Catalogue accounts

Understanding which debts require urgent attention can help people prioritise support and budgeting decisions.

Breathing Space (Debt Respite Scheme)

The Debt Respite Scheme, often known as Breathing Space, was introduced by law to help people experiencing serious debt problems.

The scheme may provide:

• Temporary protection from creditor action
• Reduced pressure while obtaining advice
• Time to consider debt solutions
• Protection from some additional charges and enforcement action

Breathing Space usually requires support from an authorised debt adviser.

Government Information

Breathing Space Scheme:
https://www.gov.uk/options-for-paying-off-your-debts/breathing-space

Debt & Housing Stability

Debt can have a significant impact on housing security.

Financial difficulties may increase risks of:

• Rent arrears
• Mortgage arrears
• Eviction
• Homelessness
• Temporary accommodation
• Housing instability

People struggling with housing-related debt should seek support as early as possible.

Support may include:

• Housing advice
• Debt advice
• Council assistance
• Discretionary Housing Payments
• Homelessness prevention services

Government Information

Housing Support:
https://www.gov.uk/housing-and-universal-credit

Homelessness Support:
https://www.gov.uk/if-youre-homeless-at-risk-of-homelessness

Debt & Mental Health

Debt can have serious emotional and psychological effects.

People may experience:

• Anxiety
• Depression
• Sleep difficulties
• Isolation
• Panic
• Emotional exhaustion
• Relationship pressures
• Fear about the future

Long-term financial stress can affect physical health, emotional wellbeing, work, family life, and overall quality of life.

Seeking support early may help reduce emotional harm and improve outcomes.

Mental Health Support

NHS Mental Health Services:
https://www.nhs.uk/mental-health

Mind:
https://www.mind.org.uk

Samaritans:
https://www.samaritans.org

Vulnerable Customers & Additional Protections

Some people may be considered financially vulnerable because of:

• Disability
• Mental health conditions
• Serious illness
• Learning disabilities
• Cognitive difficulties
• Domestic abuse
• Bereavement
• Caring responsibilities

Financial organisations regulated by the Financial Conduct Authority may have responsibilities to consider vulnerability and provide appropriate support.

Support may include:

• Flexible communication
• Additional time
• Accessible formats
• Adjusted repayment discussions
• Referral to support services

Equality Rights & Reasonable Adjustments

The Equality Act 2010 may provide legal protections for people with disabilities and long-term health conditions.

Reasonable adjustments may include:

• Alternative communication methods
• Accessible documents
• Additional support during discussions
• Extra time to respond
• Disability-related accommodations

Equality Information

Equality Act Guidance:
https://www.gov.uk/guidance/equality-act-2010-guidance

Equality Advisory Support Service:
https://www.equalityadvisoryservice.com

Domestic Abuse & Economic Abuse

Debt problems may sometimes be linked to economic abuse.

Examples may include:

• Debt created by another person
• Financial control
• Restricted access to money
• Coerced borrowing
• Threats relating to finances

The Domestic Abuse Act 2021 recognises economic abuse as a form of domestic abuse.

Specialist support services may be able to help individuals experiencing financial abuse.

Government Information

Domestic Abuse Support:
https://www.gov.uk/guidance/domestic-abuse-how-to-get-help

Free Debt Advice Is Available

Free and confidential debt advice is available through a number of trusted organisations.

Seeking advice does not commit someone to any particular solution and can help people understand their options.

Many debt advisers can assist with:

• Budgeting
• Repayment plans
• Debt solutions
• Housing-related debt
• Benefit checks
• Breathing Space applications
• Financial wellbeing support

Trusted Debt Advice Organisations

StepChange Debt Charity

StepChange provides free and confidential debt advice and support.

Website:
https://www.stepchange.org

National Debtline

National Debtline offers free independent debt advice and information.

Website:
https://www.nationaldebtline.org

Citizens Advice

Citizens Advice can provide support relating to debt, benefits, housing, and financial wellbeing.

Website:
https://www.citizensadvice.org.uk

MoneyHelper

MoneyHelper provides free guidance on budgeting, debt, benefits, pensions, and financial wellbeing.

Website:
https://www.moneyhelper.org.uk

Practical Steps If You Are Struggling With Debt

Helpful steps may include:

• Do not ignore letters or notices
• Open and read correspondence promptly
• Seek advice early
• Keep records of payments and communication
• Check benefit entitlement
• Create a household budget
• Prioritise essential bills
• Ask about repayment plans
• Access free debt advice services
• Seek emotional support if financial stress is affecting wellbeing

Even small actions can sometimes help improve control and reduce anxiety.

Getting Support Before Crisis Point

The earlier support is sought, the more opportunities may exist to:

• Prevent debt escalation
• Protect housing stability
• Reduce financial stress
• Access legal protections
• Improve financial wellbeing
• Protect family stability
• Avoid crisis situations

No one should feel embarrassed or ashamed about seeking help.

Debt problems affect millions of people and support is available.

Important Information

The information provided by Right First Time UK is for general guidance, awareness, and support purposes only.

Right First Time UK is not a debt management company, financial adviser, legal service, or regulated debt advice provider.

Debt solutions, legal protections, and financial support options vary depending on individual circumstances and current legislation.

People requiring specialist debt, financial, or legal advice should seek support from qualified professionals or regulated advice organisations.

Everyone deserves fair treatment, access to support, and the opportunity to improve their financial wellbeing.