Priority Debt — What to Pay First

Quick Answer

Priority Debt — What to Pay First: Get free, confidential debt advice from StepChange ↗, Citizens Advice ↗, or National Debtline ↗. You don't have to face debt alone.

Key takeaways
  • Breathing Space gives a legal 60-day freeze on enforcement and most interest
  • Every formal solution marks your file ~6 years — but so do the missed payments you already have
  • Free debt charities (StepChange, National Debtline) do everything paid firms do — for £0

Beyond the Basics

Statute-barred rules surprise almost everyone: most unsecured debts become unenforceable after six years without payment or written acknowledgement. One payment or a signed letter restarts the clock — get advice before responding to letters about very old accounts.

Priority ordering beats proportional payment. £80 to rent or council tax prevents eviction and bailiffs; the same £100 to a credit card prevents a letter. Credit-card collectors shout loudest precisely because they have the least leverage.

Priority Debt — What to Pay First

If you're dealing with debt in the UK, you have more options than you might think. The key is to act early — the sooner you seek help, the more solutions will be available to you.

Your Free Debt Help Options

OrganisationWhat They OfferContact
StepChangeFree debt management plans, DROs, IVA referralsstepchange.org ↗
National DebtlineFree advice, budgeting tools, creditor letter templatesnationaldebtline.org ↗
Citizens AdviceLocal support, face-to-face, online and phonecitizensadvice.org.uk ↗
MoneyHelperGov-backed money guidance, debt toolsmoneyhelper.org.uk ↗
Christians Against PovertyFree debt counselling, budgeting supportcapuk.org ↗

Debt Solutions in the UK

  • Debt Management Plan (DMP) — Informal arrangement to repay debts at reduced rate
  • Individual Voluntary Arrangement (IVA) — Formal insolvency solution, typically 5–6 years
  • Debt Relief Order (DRO) — For debts under £30,000, assets under £2,000
  • Bankruptcy — Last resort, usually discharged after 12 months
  • Debt consolidation loan — Combine debts into one lower monthly payment

Priority vs Non-Priority Debt

Always pay priority debts first — these are debts where non-payment could result in losing your home, utilities, or other essential services:

  • Rent or mortgage
  • Council tax
  • Gas and electricity (energy debts)
  • Court fines
  • Child maintenance
  • Income tax / National Insurance

Non-priority debts (credit cards, personal loans, store cards) are still important but carry fewer immediate legal consequences if you miss payments.

Expert Tip: Never pay for debt advice. Reputable organisations like StepChange, National Debtline, and Citizens Advice provide the same support for free. Avoid companies that charge upfront fees.

Try Our Debt Consolidation Calculator →

Frequently Asked Questions

Priority debts (rent, mortgage, council tax, energy) carry severe consequences — eviction, bailiffs, disconnection and get paid first. Credit cards and loans are non-priority, whatever the collection letters imply.

Student loans, court fines, child maintenance and secured debts sit outside most solutions and must be paid separately.

Once a solution is in place, contact must go through the arrangement. Before that, you can insist on written-only contact — and FCA rules ban harassment.

No — everything a fee-charging firm does, a charity does free. Fees eat money that should be clearing your balance.

It depends on your debt level, income and assets. Never decide from one article — free debt charities model all solutions side by side, and unlike commercial firms they have no incentive to steer you.

Often yes. On a DMP most creditors freeze or reduce interest voluntarily; formal solutions like an IVA freeze it by law.

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