What are the alternatives to bankruptcy?
If you're struggling to repay your debts and feel like bankruptcy is your only option, this may not necessarily be the case. You may be eligible for other debt solutions, such as:
An Individual Voluntary Arrangement (IVA)
An IVA is a legally binding agreement between you and your creditors.
It allows you to make affordable payments over a fixed period, usually five to six years, after which any remaining debts are written off.
With an IVA, you can often keep your home, car and other essential assets.
A Debt Management Plan (DMP)
A DMP is a flexible and informal solution where you make reduced payments to your creditors.
It's based on your level of disposable income after your priority payments and living costs have been considered.
A DMP lasts until your debts are fully repaid. As this is a voluntary agreement on both sides, your creditors can still take legal action against you to try to recover outstanding debts.
A Debt Relief Order (DRO)
A DRO is a debt solution for those who have very little when it comes to assets. For example, they don't own a home or have valuables worth more than £2,000 and £75 or less in monthly disposable income.
It can provide immediate debt relief, freezing debt repayments for up to 12 months, after which the debts are written off.
Contact Us to Learn More
Our expert, impartial advisors are specifically trained to assess which debt solution most suits your specific needs.
Talk to us today on 0800 316 1833 or complete our simple online form.