1. Is it possible to legally write off debt?
Yes, depending on your circumstances, this is possible.
2. If I don’t pay my debt will it just go away?
No, unfortunately this is a myth.
Some debts have statutory limitations which means that a creditor has a set timescale for taking action against you. If this timeframe expires it does not mean that you do not still owe the money, it simply means they cannot take legal action against you.
3. Will non-payment of debt affect my credit?
Yes, missed payments are recorded on your credit file for up to 6 years. An IVA or Bankruptcy Order will also sit on your credit file for 6 years from the date of registration.
4. Will Bankruptcy erase all my debts?
There are some debts that cannot be written off in bankruptcy, an example of some of these are student loans, child maintenance arrears and tax evasion.
5. How long does it take to put an IVA in place?
Approximately 2-4 weeks.
6. How much will I have to pay back in an IVA?
There is no one size fits all approach. Each individual’s circumstances are unique. We have seen IVAs ranging in repayments of 1p in the £ to 100p in the £!
7. How much will it cost me?
It depends on which option suits you best.
For an IVA, all fees are paid from the overall sum coming into the IVA so there are no upfront payments. If it is a Bankruptcy situation, then a quote tailored to you will be sent to you for approval. You are under no obligation to proceed with us.
8. Do I have to meet my creditors?
Sometimes, but usually not. We will act as your intermediary and will have full authority to discuss your financial affairs.
9. Will I lose my home?
Being in debt does not necessarily mean that you will lose your home. There are many options available to ensure that this does not happen, however, early intervention is required.
10. Can you help me?
Absolutely, pick up the phone and give us a call.