How Debt Relief can help you
With the increase in living costs and rise in energy bills, it’s easy to feel overwhelmed and worried about how you will manage financially. And if you are already dealing with unsecured debts, it’s important to take action, if you don’t, it will only get worse and cause you more stress.
If you’re struggling with mounting debts, you may consider a debt relief solution as an option to help lighten the load and ease your debt troubles and worries.
There are various types of debt relief solutions to help reducing your debt, and even options to write off debt, such as through an IVA. Finding the right type of debt relief suited to your individual circumstances can give you the debt help and breathing room necessary to get your finances back on track.
Call a member of our team to discuss debt relief options – 0161 660 3487
Let’s talk
Apply online or call us now to get an instant response from our debt team and discuss ho we could help you tackle debt
We can help you
Dependant on your financial situation, we’ll let you know if an IVA may be a potential solution for you to clear your debt
You’re not alone
If you qualify for an IVA, we will take the necessary steps to arrange this for you, putting your mind at ease
Debt relief solutions
Make your money manageable again with a range of formal or informal debt relief solutions.
IVA
Manage problem debt with an IVA
An Individual Voluntary Arrangement (IVA) could be your answer to the untold stress of overwhelming debt and is a legal agreement between you and your creditors to agree to pay off a portion of your debts.
It can be a positive way to manage your debt, by combining all your unsecured debts into one affordable monthly payment with all interest and charges frozen. An IVA usually lasts five or six years, and once completed, any outstanding debts will be written off.
Some people instinctively think of bankruptcy when it comes to dealing with unmanageable debts, however an IVA is another debt solution that could be a better fit for you. Whether an IVA is suitable for you depends entirely on your current circumstances. We will run through a detailed income and expenditure with you to work out how much you can realistically afford to pay back towards your debts.
Unfortunately, not everyone will qualify for an IVA, but our friendly and experienced advisors are on hand to guide you through the process and talk through all your options based on your personal situation.
Find out if an IVA is the right solution for you
Debt Relief Order (DRO)
Write off your unsecured debts with a DRO
If you are struggling with your debts and have no way of paying them back, then you might qualify for a Debt Relief Order. A DRO is a legally binding solution that allows you to stop making debt repayments and is designed to be an alternative to bankruptcy for those with few assets, lower debt levels and with a reduced fee of £90.
A Debt Relief Order is a debt solution for people on a low income, with little or no affordability towards their debts. It is a formal insolvency solution like bankruptcy but costs less.
After our initial debt assessment, if an IVA is not a viable option for you, but it looks like you might qualify for a DRO, then we can refer you to our partner company who are an approved DRO assessor and can make all the arrangements for you.
Debt Management Plan
Take control of your finances with a Debt Management Plan
IA Debt Management Plan is an informal agreement designed to set a manageable monthly payment in line with your budget. Unlike other debt solutions, such as an IVA, it isn’t legally binding, and your singular monthly payment is based on what you can reasonably afford and paid over a longer period of time.
If you struggle with credit card debts, personal loans and store card payments, and would prefer an informal arrangement that allows you to cancel at any time, then a Debt Management Plan (DMP) may be the best option for you allowing you to consolidate your debts into one monthly payment and reduce the amount payable almost instantly. However, there is also the possibility that creditors can withdraw from the plan too.
After assessing your income and outgoings working out how much you can realistically afford to pay back towards your debts, if we find that an IVA is not a viable option for you, and you wish to seek further advice and help regarding a DMP, then we can pass you over to one of our debt management partners who can help you further with this.
Bankruptcy
Helping you get out of debt with Bankruptcy
Usually considered as the last resort and the most serious of all personal debt solutions, Bankruptcy allows you to reset your financial situation and start afresh.
Bankruptcy is a form of personal insolvency and is generally only suitable if you are unable to pay back all your debts and have few or no assets.
It’s important that you consider all options and avenues when looking for a debt solution before you make a final decision. Bankruptcy may seem like a quick fix to getting rid of your overwhelming debts but as with all debt solutions it has risks and considerations that should be taken into account.
If you’re debts are greater than £30,000 and you have no disposable income to go towards your debt like other solutions such as an IVA or DMP, then Bankruptcy may be the best option for you.
Once we have completed our complimentary assessment, if we find that an IVA is not a viable option for you, but that you may be suitable for Bankruptcy, and you feel it is the right option for you, then we can refer you to one of our trusted partners who can work with you to get it set up.
Important tips to remember…
Notify creditors if you can’t keep up with payments– the sooner you notify them, they may be able to work with you to modify your payment plan so it’s more manageable.
Secured debts may be tied to your assets– if you’re struggling to make repayments and are in arrears, your creditor could have the right to take assets from you in order to pay off your debt.
Contact a debt relief service for advice and help– contacting a debt service such as Debt Relief, our expert advisers are here to provide the right debt help and support you need, and set up a solution to start you on your journey to becoming debt free.
