DMP going wrong

A question about : DMP going wrong

My Dad has been on a self-managed DMP successfully for five years, but the past year he's had to pay token amounts as he has been on ESA and unable to return to the work he did following illness.
The ESA has now stopped and he's really struggling to find work, partly due to illness and age.

What is the best option for the DMP - continue Ј1 payments or ask for debts to be written off?

All debts are with DCAs.

Best answers:

• How likely is it that his situation will improve so that he can pay off the debts in a realistic time? And how much are the debts overall?
• Hi Gemmzie, thank you for your query regarding DMP
  I would suggest your father seeks debt advice regarding the options he has for dealing with his debts which could include bankruptcy or asking for a write off (although this will be difficult for this level of debt unless he has really strong medical evidence and does not own any property). You can find your local Citizens Advice Bureau at www.citizensadvice. I would suggest to prepare for the appointment by getting paperwork for each creditor with a balance and reference number and an original credit agreement if you have it, a credit report and a detailed budget and proof of current income. You can find more information about dealing with debts at www.adviceguide.org.uk
  Hope this is of assistance.
• He was self employed previously, and still is despite no actual income, so couldn't get any help except advice from National Debtline.
  He can't go bankrupt as my parents own their own home and have some equity available.
  Thanks though
• Hi Gemmzie
  If your parent's own their own home and have equity it is unlikely a creditor will agree to a write off and regarding getting advice it may be that he could not get advice as he could not prove his income as self employed and you were trying to get advice under a project which requires proof of income but if he is now claiming Income Related Employment Support Allowance the situation may be different as he would be on a passported benefit so I would suggest you consider going back. Your father could consider selling the property and using the proceeds to pay the debts or make full and final settlements with the proceeds although this can affect certain benefits.
• He is no longer getting ESA as he was previously working, he was only entitled for 365 days.
  They would be homeless if they sold the property so I guess the creditors will keep getting Ј1