Companies Claiming to Get Your Debts Written Off
Every so often, there are companies that will claim that they can get your debt written off. The reality though is, debts just can’t be written off, unfortunately there is no magic way of getting your debt written off. Often these companies will approach you and claim that they have a way of getting debts written off, for this privilege you will be charged an upfront fee. As humans, we always want to believe that some form of quick solution exists, very often this solution is a scam or jut another name for debts solutions that are already available. Perhaps it is just a way of trying to lure you into dealing with that company?
What Debt Solutions are Actually Available
- Debt consolidation: Combining multiple debts into a single loan with a lower interest rate.
- Debt management plan: A repayment plan that allows you to pay back your debts over a longer period of time and at a lower or even zero interest rate.
- Individual voluntary arrangement (IVA): A legally binding agreement between you and your creditors to repay your debts over a set period of time (usually five years).
- Debt relief order (DRO): A debt solution for people with low income and few assets. It allows you to be debt-free after a year, with certain debts written off.
- Bankruptcy: A legal process that allows you to be discharged from most of your debts after a certain period of time.
- Full and Final Settlements – You will need a sum of money available to be able to complete a full and final seettlement
If you are considering an or offered an IVA, think very hard about this one and get as much information as possible. The Bankruptcy Associations views may be of interest to you.
Take Advice on the Right Debt Solution
If you are struggling with debt and feeling overwhelmed, it is important to get the right advice to find a debt solution that works for you. The first step is to speak to a financial counsellor who can help you to understand your financial situation, assess your options and provide free, independent advice. A financial counsellor can help you to create a budget and provide suggestions on how to manage your debts. They can also provide information on debt relief options such as debt consolidation, credit counselling, or even bankruptcy. A financial counsellor can also help you to negotiate with creditors and work out a repayment plan. It is important to remember that different debt solutions work for different people and it is important to find the right solution for you. Perhaps your first port of call could be the Citizens Advice . If at any stage you are offered an IVA, just ask yourself why it is being offered to you.
Short Term Solution to Debt
When you are in debt and unable to pay your creditors the full amount, often the biggest problem is the constant calls from creditors and DCA’s. So a fairly quick solution to this is either contact a company and get into a debt management plan, or even consider a DIY Debt Management Plan. You will find that as soon as the creditors are in receipt of payment, the less demanding calls you will get. For some people a debt management plan suits them as a long term option, whilst others use it to give them a chance to think about what debt solution they really want.
Can You Get Your Debts Written Off
There is no magic solution for getting your debts written off, put quite simply you will need to consider one of the five options listed above.