How We Are Funded

Debt Advice Foundation is a registered charity.  In common with other national debt charities, we receive income in a number of ways:

  • Money Advice Service - we have in place a grant agreement for the provision of telephone debt advice.
  • a percentage of Fairshare income - a financial subsidy from the lending industry that enables not-for-profit organisations to administer free-to-client debt management plans (free-to-client means your creditors bear the cost of the plan with 100% of your monthly payment going towards repaying your debt).
  • standard professional fees for insolvency cases, such IVAs and Scottish Trust Deeds, under our management.

Debt Advice Foundation will only ever recommend solutions that are either free (not including government agency and court costs) or that have no free-to-client alternative available.

Only around 1.5% of calls to the charity’s helpline result in one of these income generating solutions.  The income the charity generates from these solutions allows it to continue to fund and operate its free advice helpline as well as the charity’s financial education programme, DebtAware.

DebtAware also receives a small number of donations, which are used for teaching materials such as the Money Diaries, which are provided to every pupil in our schools programme.