Some of the Options available to you

There are lots of different ways you can take control of your debt problems, no matter what your financial circumstances. So if you're experiencing mounting debt, you may wish to consider one of the following options (please click on the links for more information):

Informal repayment plan
An Informal Repayment Plan is similar to an IVA in that it is an agreed deal between you and your creditor. It can be used by anyone with a debt problem; however, it is best suited to those with debts of less that £15,000 with less than four different creditors. It is recommended you should be able to afford a total monthly payment of at least 1% of your total debt.
Independent voluntary amount
An IVA is a negotiated deal with your creditors that allows you to repay your debt in an agreed number of monthly installments over a fixed period of time, often five years or less. If you own a property, you will normally be expected to offer creditors a sum of money in place of a proportion, usually 50%, of your equity. You may also offer your creditors a lump sum to settle your debts through an IVA. Most creditors will agree to an IVA if you show a genuine pledge to pay off as much of your debt as you can afford.
Debt Management
Very often, trying to negotiate with your creditors can be a daunting prospect especially if you are not 100% certain of your rights. Using a Debt Management company to negotiate on your behalf will help you avoid this. The company may also offer to share out your payments to multiple creditors on your behalf meaning that you only have to worry about a single affordable payment each month.
Debt Consolidation
Consolidating your debts and credit cards into one affordable payment can make sense but is it best option for you? You should consider all the options available to you carefully. By seeking advice from a Debt Advisor you can make sure that you are taking the right action to get yourself out of the debt. Complete the enquiry form and you will be called back with help and advice on the best solutions for your own personal debt problems.
Bankruptcy
Before you consider bankruptcy seek advice from a Debt Advisor who can make sure that you are taking the best action to get yourself out of debt. Bankruptcy is one solution to overwhelming debts that you will never be able to repay. Bankruptcy is the most severe result of being in serious debt. By declaring yourself bankrupt you do get protection from your creditors but there are also many negative points you should be aware of.
If you live in Scotland
Scottish law offers another solution to help clear your debts. If you live in Scotland you are eligible to enter into a three-year arrangement with creditors which involves making affordable monthly payments to a designated Trustee. This is called a Protected Trust Deed and, once in place, protects you from further action from creditors. Trust Deeds are more flexible and less costly than Sequestration, the Scottish equivalent of Bankruptcy.