‘Nothing in life is free’ goes the saying - but when it comes to debt solutions and debt advice, there is an exception to the rule.

While some companies offer ‘free’ advice and solutions with no strings attached, there are others promoting similar services, only to find hidden costs once a debt management plan is set up.

For consumers seeking help with debt problems it becomes increasingly difficult to know which way to turn for impartial advice and support.

Payplan is the UK’s oldest free debt advice and solutions provider. Its costs are funded through voluntary contributions from the credit industry. Seeking debt advice is a huge personal step to take. Once you’ve made that decision, it’s vital you get sound and impartial support from a friendly and trusted voice.

Payplan’s 10 tips provide a guide on what to look out for and what to consider before you make that choice: - Do your homework – don’t rush to sign up with the first debt advice company that catches your eye – you need to research and shop around. The Internet makes this easy but if you don’t have access to a computer, try your local library. Otherwise, make an appointment at your Citizens Advice Bureau where trained advisors will be able to provide impartial help.

- Don’t be taken in by bold advertising campaigns and headline offers – while they may attract your attention, it’s the small print you need to read to check what the offer really means. And ask yourself, who is paying for all that expensive advertising? - Get recommendations – if you know anyone else who has needed debt consolidation advice, ask them who they used and if they would happily recommend them. If this isn’t possible, check out reviews online, try the Review Centre website - http://www.reviewcentre.com/ - Check out the companies – you want to feel comfortable with the company you are going to entrust with your debt management. The company website should give you plenty of background to start to build up a feel for the company; but try the Office of Fair Trading site too http://www.oft.gov.uk/ – this will give you extra information to help you decide. - Draw up a shortlist – as part of your research, why not set yourself the task of drawing up a list of your ‘best’ three companies; the three you want to talk to. This keeps your options open. - Have your questions ready – prepare a list of questions you want to ask. It’s easy to forget what you want to say when someone is talking to you over the phone or by email. Rather than allowing them to dictate the conversation, you stick to your agenda and the questions you want answering to help you make a decision.

- Don’t be fooled by sales talk – in some cases, you could be ringing directly into a call centre of sales people who have targets to meet. Don’t be persuaded by a sales pitch, remember you want a company that is putting your best interests first. - Don’t be afraid to ask – here is your chance to ask the crucial question – ‘what is this going to cost me?’ You need to know up front if there are any charges. Listen carefully to the answer, you may not have to pay now but you may later on once a debt management plan is up and running; ask if there any other extra costs you will be charged – it’s imperative you know before you make any decision. - Take your time – don’t be rushed into making a decision immediately. The company that tries to rush you into committing isn’t thinking of you necessarily. Sit down, compare the information you’ve been given and weigh up your options. - Change of mind – what happens if you sign up, put the phone down, and then have second thoughts? Ensure the company will honour any early change of mind; if they are a reputable company this will not be a problem, instead they will help you make the switch to another arrangement (IVA, DRO or bankruptcy) or another more appropriate course of action. For more information on the differences between free and fee charging debt companies and what to look out for, check out Payplan’s blog: http://www.payplan.com/debt-news/2011/04/01/fee-vs-free/ and leave a comment, call: 0800 280 2816 or visit the website: http://www.payplan.com/ “It is vital people are aware of all the facts before they make a decision to choose a debt management company,” said John Fairhurst, Payplan MD. “A debt management plan or an individual voluntary arrangement (IVA) can be a lengthy undertaking so it’s imperative there is a strong and trusting relationship in place.”

Note to editors

Established in 1992, Payplan is a free debt advice and solutions service, providing impartial advice to people in financial distress. Payplan helps over 100,000 people every year, working closely with money advice, consumer and employee welfare organisations. Payplan operates using the Fair Share Model - in this model the customer in debt makes one payment by standing order to the provider, which is then distributed to the person’s creditors on a monthly basis. In return, most creditors pay the provider what is called a ‘fair share contribution’ – a voluntary donation. This model means a quality service is provided with no need to charge the person in debt for advice or solutions.

Payplan is part of the Totemic Group and in March 2011 Totemic was named 19th in the Sunday Times Best 100 Companies to work for.

Payplan has a working collaboration with the Consumer Financial Education Body (CFEB) which is responsible for helping consumers understand financial matters and manage their finances better by providing impartial advice through a national financial advice service. CFEB was recently renamed the Money Advice Service and is available online (