Debt Solve | Advice for writing off your unsecured debts

Write off unaffordable debts...

Write off unsecured debts over £5,000

Reduce monthly payments to as little as £80 per month

Stop interest & charges

Stop hassle from creditors

Get Debt Help

* Some debt solutions may not be suitable in all circumstances. Fees may apply. Your credit rating is likely to be affected by Debt Management, Bankruptcy, DRO's and IVA's.

How it works...here's a few examples

Mr X wrote off an estimated £23,471

Mr X unfortunately lost his job in March 21, due to COVID-19, relying on credit and a redundancy payments to cover everyday living costs.

Fortunately, Mr X was able to go self-employed and generate an income however the income did not cover all of the household bills and creditor commitments.

Mr X entered into an IVA, including all of his unsecured creditors, where his payments were reduced down to what was a manageable and affordable level. His monthly payments went from £784 per month down to £156 per month.

At the end of the 60 month period, Mr X will have paid back approximately £9,360 writing off an estimated £23,471

Estimated debt reduced by

71%

Debt Level £32,831

Monthly Contractual Payments £784

Entered an IVA using debt solve's assistance

Estimated debt reduced to £9,360

Estimated monthly payments reduced to £156

Estimated debt write-off £23,471

Mr G reduced monthly payments an estimated £770

Mr G had been struggling for a number of years to pay off his outstanding debts due to the interest and charges, he was taking out new credit cards to pay off the old ones but resuing the available balances.

Mr G entered into an IVA, including all of his unsecured creditors, where his payments were reduced down to what was a manageable and affordable level. His monthly payments went from £948 per month down to £178 per month.

At the end of the 60 month period, Mr G will have paid back approximately £10,680 writing off an estimated £11,571

Estimated debt reduced by

52%

Debt Level £22,251

Monthly Contractual Payments £948

Entered an IVA using debt solve's assistance

Estimated debt reduced to £10,680

Estimated monthly payments reduced to £178

Estimated debt write-off £11,571

Mrs M was struggling to repay debts of £25,515

Mrs M had over committed herself, resulting in more going out than coming in; she became dependent on using credit.

Mrs M was up to date with payments however she was struggling to repay her debts due to the interest and having to reuse the credit available on a day to day basis; resulting in the available spend reducing; making being able to live and survive harder.

She entered an IVA with our assistance, including all of her unsecured creditors. Her monthly payments reduced to what was a manageable and affordable level. Her monthly payments went from £765 per month down to £250 per month. In order to protect her home and equity of £15,000, the client paid into the IVA for a further 6 months, which amounted to an extra £3,000.00.

The individual successfully completed her IVA, paying back £18,000 writing off approximately £7,515

Estimated debt reduced by

29%

Debt Level £25,515

Monthly Contractual Payments £765

Entered an IVA using debt solve's assistance

Estimated debt reduced to £18,000

Estimated monthly payments reduced to £250

Estimated debt write-off £7,515.00

The Types of Debt Solutions Available

We do not administer or provide advice solely relating to debt management products, such as Debt Management Plans or Debt Payment Plans under the Debt Arrangement Scheme. We only provide advice after completing or receiving an initial fact find where individual(s) concerned meets the criteria for an IVA, therefore all advice is given in reasonable contemplation of an insolvency appointment.

An Individual Voluntary Arrangement (IVA) is an agreement with your creditors to pay all or part of your debts. You agree to make regular payments to an insolvency practitioner, who will divide this money between your creditors.

An IVA can give you more control of your assets than bankruptcy.

The Money Helper Service has information on organisations that can give you free advice about whether an IVA is right for you.

Get an Individual Voluntary Arrangement (IVA)

Use must use an insolvency practitioner to get an IVA.

An assessment of your affordability will be completed, this will determine your monthly repayment in your IVA.

The IVA will start if the creditors holding 75% of your debts agree to it. It will apply to all your IVA unsecured creditors, including any who disagreed to it.

An IVA will stop your creditors taking action against you for your debts.

Your responsibilities

Your IVA can be cancelled by the insolvency practitioner if you don’t keep up your repayments. The insolvency practitioner may make you bankrupt. Your creditors may propose modifications to your IVA.

You may still be able to keep your business running, if you have one.

Public records

Your IVA will be added to the individual insolvency register. It’s removed 3 months after the IVA ends.

Fees

There are no upfront fees to put an application for an IVA forward to your creditors however, if your IVA is accepted fees will apply.

Fees in an approved IVA are called the nominee and supervisory fees, these are already included in your affordable monthly contribution and overall amount paid back to your creditors.

These fees are subject to your creditors approval and are agreed at the beginning of your IVA.

We will only put you forward for an IVA if we believe there is a chance it will be accepted by your creditors.

Advantages	Disadvantages
It may be possible to only pay back a percentage of your debts (dependent on your circumstances).	IVAs are only suitable if you or another person can afford to make an offer of repayment to your creditors
Interest is frozen as long as you keep up your payments.	75% of your creditors must agree on the arrangement through a vote. However, we will not suggest this course of action to you unless we think there is a good chance that your creditors will accept your offer. In order for your IVA to be accepted, your creditors may ask for modifications
You only have to make one monthly payment or in some cases a one-off lump sum and the insolvency practitioner is responsible for administering and distributing your payments.	If you do not make the agreed payments to the IVA, it is likely that the IVA will fail. Also, if your circumstance change during the IVA and creditors refuse to accept amended terms it is likely that the IVA will fail. If the IVA fails, your creditors will be able to take action against you. This is likely to be a petition for your bankruptcy. Failure of an IVA may result in the debts you owe on exit being more than when you entered the IVA.
The IVA is legally binding so that your creditors cannot change their minds once they have agreed.	It may stay on your credit reference file for 6 years (source: Information Commissioners Office Leaflet “Credit Explained”).
Creditors who vote against your proposal are still bound by it.	Payments into the IVA will tend to be greater and over a longer period (typically 5 years or 6 years if you are a homeowner and paying equity into the IVA by monthly payments) than if you were made bankrupt, because of an element of bargain.

Advantages

It may be possible to only pay back a percentage of your debts (dependent on your circumstances).
Interest is frozen as long as you keep up your payments.
You only have to make one monthly payment or in some cases a one-off lump sum and the insolvency practitioner is responsible for administering and distributing your payments.
The IVA is legally binding so that your creditors cannot change their minds once they have agreed.
Creditors who vote against your proposal are still bound by it.

Disadvantages

IVAs are only suitable if you or another person can afford to make an offer of repayment to your creditors
75% of your creditors must agree on the arrangement through a vote. However, we will not suggest this course of action to you unless we think there is a good chance that your creditors will accept your offer.
In order for your IVA to be accepted, your creditors may ask for modifications
If you do not make the agreed payments to the IVA, it is likely that the IVA will fail. Also, if your circumstance change during the IVA and creditors refuse to accept amended terms it is likely that the IVA will fail. If the IVA fails, your creditors will be able to take action against you. This is likely to be a petition for your bankruptcy. Failure of an IVA may result in the debts you owe on exit being more than when you entered the IVA.
It may stay on your credit reference file for 6 years (source: Information Commissioners Office Leaflet “Credit Explained”).
Payments into the IVA will tend to be greater and over a longer period (typically 5 years or 6 years if you are a homeowner and paying equity into the IVA by monthly payments) than if you were made bankrupt, because of an element of bargain.

Advantages	Disadvantages
It may be possible to only pay back a percentage of your debts (dependent on your circumstances).	IVAs are only suitable if you or another person can afford to make an offer of repayment to your creditors
Interest is frozen as long as you keep up your payments.	75% of your creditors must agree on the arrangement through a vote. However, we will not suggest this course of action to you unless we think there is a good chance that your creditors will accept your offer. In order for your IVA to be accepted, your creditors may ask for modifications
You only have to make one monthly payment or in some cases a one-off lump sum and the insolvency practitioner is responsible for administering and distributing your payments.	If you do not make the agreed payments to the IVA, it is likely that the IVA will fail. Also, if your circumstance change during the IVA and creditors refuse to accept amended terms it is likely that the IVA will fail. If the IVA fails, your creditors will be able to take action against you. This is likely to be a petition for your bankruptcy. Failure of an IVA may result in the debts you owe on exit being more than when you entered the IVA.
The IVA is legally binding so that your creditors cannot change their minds once they have agreed.	It may stay on your credit reference file for 6 years (source: Information Commissioners Office Leaflet “Credit Explained”).
Creditors who vote against your proposal are still bound by it.	Payments into the IVA will tend to be greater and over a longer period (typically 5 years or 6 years if you are a homeowner and paying equity into the IVA by monthly payments) than if you were made bankrupt, because of an element of bargain.
Once the IVA is in place your creditors cannot bring any other action against you if you maintain your agreed monthly payment.	Homeowners will generally have to agree to release much of their share of any equity in their home. Usually in the 54th month of the IVA.
The IVA is not advertised.	An IVA is entered on the BIS public register.
The proposal will generally allow you to retain your home if you are a homeowner.	If you win the lottery or come into a windfall during your IVA, you will be expected to introduce it into your IVA for the benefit of your creditors
When the IVA is completed successfully the balance of what you owe your creditors is written off.
The insolvency practitioner will help you prepare your proposal including the agreement of your expenditure based on guidelines acceptable to creditors.
Fees and disbursements of the insolvency practitioner are to be paid from the funds paid into the IVA.
An IVA is unlikely to affect your professional status. Also, you are less likely to lose your job than if you were bankrupt (unless your employment contract says otherwise).
You may be able to, if applicable, continue running your own business.

Advantages

It may be possible to only pay back a percentage of your debts (dependent on your circumstances).
Interest is frozen as long as you keep up your payments.
You only have to make one monthly payment or in some cases a one-off lump sum and the insolvency practitioner is responsible for administering and distributing your payments.
The IVA is legally binding so that your creditors cannot change their minds once they have agreed.
Creditors who vote against your proposal are still bound by it.
Once the IVA is in place your creditors cannot bring any other action against you if you maintain your agreed monthly payment.
The IVA is not advertised.
The proposal will generally allow you to retain your home if you are a homeowner.
When the IVA is completed successfully the balance of what you owe your creditors is written off.
The insolvency practitioner will help you prepare your proposal including the agreement of your expenditure based on guidelines acceptable to creditors.
Fees and disbursements of the insolvency practitioner are to be paid from the funds paid into the IVA.
An IVA is unlikely to affect your professional status. Also, you are less likely to lose your job than if you were bankrupt (unless your employment contract says otherwise).
You may be able to, if applicable, continue running your own business.

Disadvantages

IVAs are only suitable if you or another person can afford to make an offer of repayment to your creditors
75% of your creditors must agree on the arrangement through a vote. However, we will not suggest this course of action to you unless we think there is a good chance that your creditors will accept your offer.
In order for your IVA to be accepted, your creditors may ask for modifications
If you do not make the agreed payments to the IVA, it is likely that the IVA will fail. Also, if your circumstance change during the IVA and creditors refuse to accept amended terms it is likely that the IVA will fail. If the IVA fails, your creditors will be able to take action against you. This is likely to be a petition for your bankruptcy. Failure of an IVA may result in the debts you owe on exit being more than when you entered the IVA.
It may stay on your credit reference file for 6 years (source: Information Commissioners Office Leaflet “Credit Explained”).
Payments into the IVA will tend to be greater and over a longer period (typically 5 years or 6 years if you are a homeowner and paying equity into the IVA by monthly payments) than if you were made bankrupt, because of an element of bargain.
Homeowners will generally have to agree to release much of their share of any equity in their home. Usually in the 54th month of the IVA.
An IVA is entered on the BIS public register.
If you win the lottery or come into a windfall during your IVA, you will be expected to introduce it into your IVA for the benefit of your creditors

Bankruptcy is a formal solution where you legally declare your inability to repay your debts. Many people consider bankruptcy to be their "last resort" when looking for a debt solution, but sometimes it can allow you to make a fresh start and be debt free in around 12 months. You may be expected to make repayments into your bankruptcy for up to 3 years.

Bankruptcy can come with some consequences that you might want to think about carefully before choosing this as your most preferred option and there may be alternative debt solutions available to you that are more suited to your situation. You can declare yourself bankrupt or if you owe over £5,000.00 your creditors may petition for your bankruptcy.>

Advantages	Disadvantages
All debts are written off except for the exceptions of student loans, fines, debts from family proceedings & budgeting/crisis loans owed to the Social Fund.	Your employment may be affected and certain professionals (e.g. Solicitors) are barred from practising.
On the making of the Bankruptcy Order, apart from a small number of exceptions, Creditors can no longer take action against you.	You cannot be employed as a Company Director or be involved in its management unless the court agrees.
You will be discharged from the bankruptcy in not more than 1 year.	Any sole trader business is likely to be closed down.
If you have disposable income you will only have to pay for 3 years and, probably, less each month than if you entered into an IVA. Means Tested State Benefits and Child Benefit will be left out of account in determining whether payments are to be made.	You cannot obtain credit over £500 without telling the creditor of your status.
As an Officer of the Court, the Trustee has an overriding duty to act in good faith towards all parties, including the Bankrupt i.e. the Trustee cannot disregard the Bankrupts legal rights, simply to improve the position of the creditors.	For misconduct a restrictions order may be made against you for 2 to 15 years. These restrictions will be similar to those in force while you are a bankrupt.

Advantages

All debts are written off except for the exceptions of student loans, fines, debts from family proceedings & budgeting/crisis loans owed to the Social Fund.
On the making of the Bankruptcy Order, apart from a small number of exceptions, Creditors can no longer take action against you.
You will be discharged from the bankruptcy in not more than 1 year.
If you have disposable income you will only have to pay for 3 years and, probably, less each month than if you entered into an IVA. Means Tested State Benefits and Child Benefit will be left out of account in determining whether payments are to be made.
As an Officer of the Court, the Trustee has an overriding duty to act in good faith towards all parties, including the Bankrupt i.e. the Trustee cannot disregard the Bankrupts legal rights, simply to improve the position of the creditors.

Disadvantages

Your employment may be affected and certain professionals (e.g. Solicitors) are barred from practising.
You cannot be employed as a Company Director or be involved in its management unless the court agrees.
Any sole trader business is likely to be closed down.
You cannot obtain credit over £500 without telling the creditor of your status.
For misconduct a restrictions order may be made against you for 2 to 15 years. These restrictions will be similar to those in force while you are a bankrupt.

Advantages	Disadvantages
All debts are written off except for the exceptions of student loans, fines, debts from family proceedings & budgeting/crisis loans owed to the Social Fund.	Your employment may be affected and certain professionals (e.g. Solicitors) are barred from practising.
On the making of the Bankruptcy Order, apart from a small number of exceptions, Creditors can no longer take action against you.	You cannot be employed as a Company Director or be involved in its management unless the court agrees.
You will be discharged from the bankruptcy in not more than 1 year.	Any sole trader business is likely to be closed down.
If you have disposable income you will only have to pay for 3 years and, probably, less each month than if you entered into an IVA. Means Tested State Benefits and Child Benefit will be left out of account in determining whether payments are to be made.	You cannot obtain credit over £500 without telling the creditor of your status.
As an Officer of the Court, the Trustee has an overriding duty to act in good faith towards all parties, including the Bankrupt i.e. the Trustee cannot disregard the Bankrupts legal rights, simply to improve the position of the creditors.	For misconduct a restrictions order may be made against you for 2 to 15 years. These restrictions will be similar to those in force while you are a bankrupt.
You may be able to avoid having to sell your home if your spouse, partner or a relative can buy your share of the equity.	Ownership of all your assets will pass to your Trustee in Bankruptcy, whose main job will be to realise them for the benefit of your creditors.
Fees of the Trustee in Bankruptcy/Official Receiver are paid from the assets realised.	Any share of any equity in your home will have to be realised by the Trustee within 3 years on the bankruptcy order. However, If spouse or children under 16 are in the property there will be no forced realisation within the first 12 months.
Any payment received under the Victims’ Payment Regulation is exempt from being treated as part of the bankrupt’s estate and will not pass to the trustee or any person acting on behalf of the creditors.	The term “Assets” is quite wide. It can include, for example, the rights of a bankrupt to sue for a debt owed to him. Also, the Trustee has the power to apply to Court to overturn prior transactions, subject to various time limits and conditions. Prior Divorce settlements for example can, potentially, come under the scrutiny of the Trustee in Bankruptcy.
	The Bankrupt has little if any influence in what happens.
	Notice of the Bankruptcy will be advertised and entered on the BIS public register.
	If you petition for your own bankruptcy you have to pay a court fee and deposit totalling £705 (£525 for managing your bankruptcy and £180 Court costs).You may not have to pay the £180 Court costs if you are on income support. Petition costs may vary from time to time and you should always check these with your local Court.
	If you do not petition for your own bankruptcy you have no control over when it will happen as you are waiting for a creditor to petition. If a creditor petitions however there is no cost to you.
	It may stay on your credit reference file for 6 years (source: Information Commissioners Office Leaflet “Credit Explained”).
	You cannot choose your Trustee in Bankruptcy.

Advantages

All debts are written off except for the exceptions of student loans, fines, debts from family proceedings & budgeting/crisis loans owed to the Social Fund.
On the making of the Bankruptcy Order, apart from a small number of exceptions, Creditors can no longer take action against you.
You will be discharged from the bankruptcy in not more than 1 year.
If you have disposable income you will only have to pay for 3 years and, probably, less each month than if you entered into an IVA. Means Tested State Benefits and Child Benefit will be left out of account in determining whether payments are to be made.
As an Officer of the Court, the Trustee has an overriding duty to act in good faith towards all parties, including the Bankrupt i.e. the Trustee cannot disregard the Bankrupts legal rights, simply to improve the position of the creditors.
You may be able to avoid having to sell your home if your spouse, partner or a relative can buy your share of the equity.
Fees of the Trustee in Bankruptcy/Official Receiver are paid from the assets realised.
Any payment received under the Victims’ Payment Regulation is exempt from being treated as part of the bankrupt’s estate and will not pass to the trustee or any person acting on behalf of the creditors.

Disadvantages

Your employment may be affected and certain professionals (e.g. Solicitors) are barred from practising.
You cannot be employed as a Company Director or be involved in its management unless the court agrees.
Any sole trader business is likely to be closed down.
You cannot obtain credit over £500 without telling the creditor of your status.
For misconduct a restrictions order may be made against you for 2 to 15 years. These restrictions will be similar to those in force while you are a bankrupt.
Ownership of all your assets will pass to your Trustee in Bankruptcy, whose main job will be to realise them for the benefit of your creditors.
Any share of any equity in your home will have to be realised by the Trustee within 3 years on the bankruptcy order. However, If spouse or children under 16 are in the property there will be no forced realisation within the first 12 months.
The term “Assets” is quite wide. It can include, for example, the rights of a bankrupt to sue for a debt owed to him. Also, the Trustee has the power to apply to Court to overturn prior transactions, subject to various time limits and conditions. Prior Divorce settlements for example can, potentially, come under the scrutiny of the Trustee in Bankruptcy.
The Bankrupt has little if any influence in what happens.
Notice of the Bankruptcy will be advertised and entered on the BIS public register.
If you petition for your own bankruptcy you have to pay a court fee and deposit totalling £705 (£525 for managing your bankruptcy and £180 Court costs).You may not have to pay the £180 Court costs if you are on income support. Petition costs may vary from time to time and you should always check these with your local Court.
If you do not petition for your own bankruptcy you have no control over when it will happen as you are waiting for a creditor to petition. If a creditor petitions however there is no cost to you.
It may stay on your credit reference file for 6 years (source: Information Commissioners Office Leaflet “Credit Explained”).
You cannot choose your Trustee in Bankruptcy.

A Debt Relief Order (Also known as a DRO) is a formal Insolvency solution you can apply for if you are living in England & Wales and struggling with debts up to £30,000, providing you haven’t entered into a DRO in the last 3 years. Your assets are worth less than £2,000 and you have a monthly disposable income of less than £75.00.

You can do a DRO in Northern Ireland, but the criteria is slightly different. In order to apply for a DRO you must have debts up to £20,000. Your assets are worth less than £1,000 and you have a monthly disposable income of less than £50.00.

A DRO is sometimes referred to as a form of mini bankruptcy. It is also a much shorter and cheaper to do than Bankruptcy, it normally costs £90 and after 12 months all debts that were included in the DRO will be written off.

Advantages	Disadvantages
All debts are written off except for the exceptions of student loans, fines, debts from family proceedings & budgeting/crisis loans owed to the Social Fund.	You can’t have a DRO if you have an existing bankruptcy order, an IVA, are subject to bankruptcy restrictions, or you have had a DRO in the last 6 years.
None of the creditors listed in the DRO application can take further action against you without the court’s permission.	You won’t be able to have a DRO if you own a house, even if it has no equity (value).
It allows you to make a fresh start after 1 year.	Your DRO is entered on the BIS public register.
The fee (£90) is affordable and can be paid in instalments, but the fee must be paid before the application can be made.	Your employment may be affected.
You will keep your assets and a vehicle as detailed above.	Your DRO could be revoked (withdrawn) if you don’t co-operate with the official receiver during the year your DRO is in force.

Advantages

All debts are written off except for the exceptions of student loans, fines, debts from family proceedings & budgeting/crisis loans owed to the Social Fund.
None of the creditors listed in the DRO application can take further action against you without the court’s permission.
It allows you to make a fresh start after 1 year.
The fee (£90) is affordable and can be paid in instalments, but the fee must be paid before the application can be made.
You will keep your assets and a vehicle as detailed above.

Disadvantages

You can’t have a DRO if you have an existing bankruptcy order, an IVA, are subject to bankruptcy restrictions, or you have had a DRO in the last 6 years.
You won’t be able to have a DRO if you own a house, even if it has no equity (value).
Your DRO is entered on the BIS public register.
Your employment may be affected.
Your DRO could be revoked (withdrawn) if you don’t co-operate with the official receiver during the year your DRO is in force.

Advantages	Disadvantages
All debts are written off except for the exceptions of student loans, fines, debts from family proceedings & budgeting/crisis loans owed to the Social Fund.	You can’t have a DRO if you have an existing bankruptcy order, an IVA, are subject to bankruptcy restrictions, or you have had a DRO in the last 6 years.
None of the creditors listed in the DRO application can take further action against you without the court’s permission.	You won’t be able to have a DRO if you own a house, even if it has no equity (value).
It allows you to make a fresh start after 1 year.	Your DRO is entered on the BIS public register.
The fee (£90) is affordable and can be paid in instalments, but the fee must be paid before the application can be made.	Your employment may be affected.
You will keep your assets and a vehicle as detailed above.	Your DRO could be revoked (withdrawn) if you don’t co-operate with the official receiver during the year your DRO is in force.
The approved intermediary ensures that you are given appropriate advice and that you fit the criteria for a DRO.	You can’t act as a director of a company or be involved in its management unless the court agrees.
	You will be committing an offence if you get credit of £500 or more without disclosing that you are subject to a DRO.
	You may have a debt relief restrictions order made against you for 2 to 15 years if you acted irresponsibly, recklessly or dishonestly. These restrictions will be similar to those in force while you are subject to a DRO.
	It may stay on your credit reference file for 6 years (source: Information Commissioners Office Leaflet “Credit Explained”).

Advantages

All debts are written off except for the exceptions of student loans, fines, debts from family proceedings & budgeting/crisis loans owed to the Social Fund.
None of the creditors listed in the DRO application can take further action against you without the court’s permission.
It allows you to make a fresh start after 1 year.
The fee (£90) is affordable and can be paid in instalments, but the fee must be paid before the application can be made.
You will keep your assets and a vehicle as detailed above.
The approved intermediary ensures that you are given appropriate advice and that you fit the criteria for a DRO.

Disadvantages

You can’t have a DRO if you have an existing bankruptcy order, an IVA, are subject to bankruptcy restrictions, or you have had a DRO in the last 6 years.
You won’t be able to have a DRO if you own a house, even if it has no equity (value).
Your DRO is entered on the BIS public register.
Your employment may be affected.
Your DRO could be revoked (withdrawn) if you don’t co-operate with the official receiver during the year your DRO is in force.
You can’t act as a director of a company or be involved in its management unless the court agrees.
You will be committing an offence if you get credit of £500 or more without disclosing that you are subject to a DRO.
You may have a debt relief restrictions order made against you for 2 to 15 years if you acted irresponsibly, recklessly or dishonestly. These restrictions will be similar to those in force while you are subject to a DRO.
It may stay on your credit reference file for 6 years (source: Information Commissioners Office Leaflet “Credit Explained”).

A Debt Management Plan (DMP) is a flexible and informal debt solution that is set up between you and your creditors. A DMP may be suitable if you are struggling to manage your debts (above £1,200) and can afford to make a monthly repayment.

A Debt Management Plan allows for one new and affordable repayment that will be shared with your creditors. It is one of the most flexible solutions, which can allow for changes in your situation to be catered for. In a DMP, you repay 100% of the debt back, repaying less than the contractual payments may result in you paying more back and it taking longer to repay.

Advantages	Disadvantages
You make payments that you can afford and may be able to vary your payments if your circumstances change.	They are not legally binding, and you are liable for your debts until they are paid in full. Creditors cannot be forced to accept the plan or freeze interest.
The debt management company will help you prepare your plan including the agreement of your expenditure based on guidelines acceptable to creditors, which can be used to put your case to creditors.	Creditors can take legal proceedings against you at any time. This can include continuing to obtain county court judgments, a third-party debt order or a charging order against your debtor’s property; even when you are making every effort to pay.
Can be used to tide you over until your financial situation improves and you can withdraw from the scheme at any time.	Have a charging order on your home means that if you don’t repay the debt the creditor has a claim on the proceeds if the property is sold.
Debt management company will negotiate on your behalf with creditors so offers are more likely to be accepted and interest frozen.	You may never be rid of your debt, or it can take many years to repay if interest cannot be frozen and your payments are small.
You make one monthly payment, and the debt management company is responsible for administering and distributing your payments. Your monthly payments should be passed on to creditors within 5 working days.	You may not be able to make a reduced offer if your circumstances change and you can no longer afford the monthly payment.

Advantages

You make payments that you can afford and may be able to vary your payments if your circumstances change.
The debt management company will help you prepare your plan including the agreement of your expenditure based on guidelines acceptable to creditors, which can be used to put your case to creditors.
Can be used to tide you over until your financial situation improves and you can withdraw from the scheme at any time.
Debt management company will negotiate on your behalf with creditors so offers are more likely to be accepted and interest frozen.
You make one monthly payment, and the debt management company is responsible for administering and distributing your payments. Your monthly payments should be passed on to creditors within 5 working days.

Disadvantages

They are not legally binding, and you are liable for your debts until they are paid in full. Creditors cannot be forced to accept the plan or freeze interest.
Creditors can take legal proceedings against you at any time. This can include continuing to obtain county court judgments, a third-party debt order or a charging order against your debtor’s property; even when you are making every effort to pay.
Have a charging order on your home means that if you don’t repay the debt the creditor has a claim on the proceeds if the property is sold.
You may never be rid of your debt, or it can take many years to repay if interest cannot be frozen and your payments are small.
You may not be able to make a reduced offer if your circumstances change and you can no longer afford the monthly payment.

Advantages	Disadvantages
You make payments that you can afford and may be able to vary your payments if your circumstances change.	They are not legally binding, and you are liable for your debts until they are paid in full. Creditors cannot be forced to accept the plan or freeze interest.
The debt management company will help you prepare your plan including the agreement of your expenditure based on guidelines acceptable to creditors, which can be used to put your case to creditors.	Creditors can take legal proceedings against you at any time. This can include continuing to obtain county court judgments, a third-party debt order or a charging order against your debtor’s property; even when you are making every effort to pay.
Can be used to tide you over until your financial situation improves and you can withdraw from the scheme at any time.	Have a charging order on your home means that if you don’t repay the debt the creditor has a claim on the proceeds if the property is sold.
Debt management company will negotiate on your behalf with creditors so offers are more likely to be accepted and interest frozen.	You may never be rid of your debt, or it can take many years to repay if interest cannot be frozen and your payments are small.
You make one monthly payment, and the debt management company is responsible for administering and distributing your payments. Your monthly payments should be passed on to creditors within 5 working days.	You may not be able to make a reduced offer if your circumstances change and you can no longer afford the monthly payment.
Some debt management companies do not charge a fee. You may wish to contact www.stepchange.org	It may stay on your credit reference file for 6 years (source: Information Commissioners Office Leaflet “Credit Explained”).
Creditors may be prepared to write off the balance of what is owed if you have shown commitment to repay as much as you can and have maintained regular payments.	Interest is not always frozen and, as you are in default, may continue to accrue at penalty rates. Early withdrawal from the scheme may result in the debts you owe on exit being more than when you entered the plan.

Advantages

You make payments that you can afford and may be able to vary your payments if your circumstances change.
The debt management company will help you prepare your plan including the agreement of your expenditure based on guidelines acceptable to creditors, which can be used to put your case to creditors.
Can be used to tide you over until your financial situation improves and you can withdraw from the scheme at any time.
Debt management company will negotiate on your behalf with creditors so offers are more likely to be accepted and interest frozen.
You make one monthly payment, and the debt management company is responsible for administering and distributing your payments. Your monthly payments should be passed on to creditors within 5 working days.
Some debt management companies do not charge a fee. You may wish to contact www.stepchange.org
Creditors may be prepared to write off the balance of what is owed if you have shown commitment to repay as much as you can and have maintained regular payments.

Disadvantages

They are not legally binding, and you are liable for your debts until they are paid in full. Creditors cannot be forced to accept the plan or freeze interest.
Creditors can take legal proceedings against you at any time. This can include continuing to obtain county court judgments, a third-party debt order or a charging order against your debtor’s property; even when you are making every effort to pay.
Have a charging order on your home means that if you don’t repay the debt the creditor has a claim on the proceeds if the property is sold.
You may never be rid of your debt, or it can take many years to repay if interest cannot be frozen and your payments are small.
You may not be able to make a reduced offer if your circumstances change and you can no longer afford the monthly payment.
It may stay on your credit reference file for 6 years (source: Information Commissioners Office Leaflet “Credit Explained”).
Interest is not always frozen and, as you are in default, may continue to accrue at penalty rates. Early withdrawal from the scheme may result in the debts you owe on exit being more than when you entered the plan.

Write off unaffordable debts...

What debt are you most worried about?

Credit Cards

Personal Loans

Store Cards

Overdrafts

House Bills

Tax Bills

Catalogues

Payday Loans

How it works...here's a few examples

Mr X wrote off an estimated £23,471

Mr G reduced monthly payments an estimated £770

Mrs M was struggling to repay debts of £25,515

Enjoy peace of mind your debt is being managed

No more 'robbing Peter
to pay Paul'

No more paying high interest and charges on your credit cards

No longer having to buy food on your increasing credit card

You are no longer alone, we are here for you

Keep up to date with your priority bills

Back in control of your money and financial future

The Types of Debt Solutions Available

Advantages

Disadvantages

Advantages

Disadvantages

Advantages

Disadvantages

Advantages

Disadvantages

Advantages

Disadvantages

Advantages

Disadvantages

Advantages

Disadvantages

Advantages

Disadvantages

Write off unaffordable debts...

What debt are you most worried about?

Credit Cards

Personal Loans

Store Cards

Overdrafts

House Bills

Tax Bills

Catalogues

Payday Loans

How it works...here's a few examples

Mr X wrote off an estimated £23,471

Mr G reduced monthly payments an estimated £770

Mrs M was struggling to repay debts of £25,515

Enjoy peace of mind your debt is being managed

No more 'robbing Peter to pay Paul'

No more paying high interest and charges on your credit cards

No longer having to buy food on your increasing credit card

You are no longer alone, we are here for you

Keep up to date with your priority bills

Back in control of your money and financial future

The Types of Debt Solutions Available

Individual Voluntary Arrangements

Advantages

Disadvantages

Advantages

Disadvantages

Bankruptcy

Advantages

Disadvantages

Advantages

Disadvantages

Debt Relief Order

Advantages

Disadvantages

Advantages

Disadvantages

Debt Management Plan

Advantages

Disadvantages

Advantages

Disadvantages

No more 'robbing Peter
to pay Paul'