Debt Reduction

It can take many months, if not years, to pay off large debts that you have run up.

We look here at three options:

1. A debt management plan is co-ordinated by a specialist company on your behalf and provides a structured repayment schedule for your unsecured debts.

   If you have 3 or more creditors and can afford to pay at least £100 per month towards your debts you could consider this course of action.

   Often interest is frozen and a portion of the amount owing is written off by negotiation.

2. An alternative for debt reduction is an Individual Voluntary Arrangement (IVA) - an agreement between you and your creditors whereby you make funds available for distribution between the creditors bound by the agreement.

   This is usually available for people owing more than £15,000 in total.

3. You could also consider a debt consolidation loan. This will not reduce the amount of total debt you owe, but it may enable you to reduce your monthly payments to a level where you can comfortably afford them. This option will also have no effect on your credit rating, unlike the options above which will have a negative impact on your future credit worthiness.

We can help you with debt reduction and advise you on the best course of action for your own personal circumstances. Our quotes are free, entirely without obligation and treated in the strictest confidence.