Obtaining help for a debt problem in the United Kingdom is easy. One only needs to call one of the many organizations that offer advice to people on the telephone or in person. These companies employ advisors who have many ideas on how to manage your debts and also answer any question that may come to mind.
When hiring one these organizations, you have two options. You can just ask questions and receive good advice on how to proceed with your debts, or you can ask the experienced advisors at these companies to enter into negotiations with your creditors on your behalf. The negotiators will work with you to discover a solution for your debt problem that would be fair to you and your creditor. The negotiators will then take the offer to the creditor for you to work out the payment arrangements.
Of course, if you are going to engage the services of these organizations, you may need to be prepared to pay a fee. Some organizations of this kind offer their services for free, but not all will. Included in the fee is payment for advice that helps you straighten out your finances and/or the negotiations that the counselors perform for you. Before hiring a company to help you with your debts, ask them if they charge a fee, how much it will be and when you will need to pay.
The Various Debt Solutions
People can receive a wide range of solutions for their debt problems when they seek the help of debt counselors. For example, those considering bankruptcy are about to take a very serious step in their financial lives, but it is a positive step for those who would be unable to repay their debts in a reasonable amount of time. Debt counselors will be able to inform people that bankruptcy would or would not be a good option for them.
Consumers also have the choice of less drastic solutions, and debt counselors are knowledgeable about several of them. One of these is the Individual Voluntary Arrangement (IVA) where counselors negotiate with the creditors and obtain an agreement for the consumers to pay less than the amount they currently owe. The amount the consumer will be required to pay will be based on the consumer’s monthly income.
If an IVA is not possible because there is insufficient surplus income, debt counselors may be able to help people obtain a Debt Relief Order (DRO). The DRO is a type of bankruptcy designed for those who have low income and very limited assets. Amongst a debt counselor’s duties will be to help those who qualify to apply for the DRO.
Those over the age of 55 who also have equity in their homes can receive help releasing that equity from a debt advice counselor. They will be able to offer this money as payment for their debts and remain in their homes.
Citizens Advice is one such company that has helped many Britons with any legal issues and monetary problems that they have had over the years. The information they give to people seeking their help is without charge, and they are located in over 3,200 locations. Their website is citizensadvice.org.uk.
Debt Advice Foundation
Another company offer its services free of charge is Debt Advice Foundation, a charitable organization registered in the United Kingdom to offer financial education and advice. The Debt Advice Foundation assures those considering using its services that their information will be kept confidential as the company helps them work out their issues with their lenders, those who offered them credit and other debts.
After contacting the Debt Advice Foundation, you will learn what you can legally do to help your situation. The company will also help you choose the best solution out of the many that they will be able to offer you. Their telephone number is 0800 043 40 50. Their hours of operation are Monday through Friday, 8 o’clock in the morning until 8 o’clock at night and Saturdays from 9 o’clock in the morning until 5 o’clock at night.
The National Debtline offers its services free of charge and teaches people how to disentangle themselves from debt problems. It doesn’t matter what part of the United Kingdom people are in because this organization will help them wherever they are. Because the laws for England, Scotland and Wales are all different, people will need to make sure that they are talking to someone who is knowledgeable about the rules in their particular areas. People do not have to worry that the advisors at the National Debtline are unfamiliar with the rules and regulations of their particular areas because the company has someone who can represent people in all three of the above-mentioned areas.
To contact them, consumers can go online and visit the website at nationaldebtline.org.uk. They can also call them at 0800 808 4000 Monday through Friday from 9 o’clock in the morning until 9 o’clock at night and Saturday from 9:30 in the morning until 1 o’clock in the afternoon.
My Money Steps
My Money Steps is an organization associated with the National Debtline. As such, counselors can help people living in England, Scotland and Wales without charge. People receive independent advice in a confidential manner that will be tailored to fit exactly the situation they are in as their counselors help them regain control of their financial situations. Their website is mymoneysteps.org.
Debt Support Trust
Debt Support Trust employs people to help others find solutions to their debt problems. This not-for-profit charity trains its workers as a national debt advice organization. As such, it is capable of helping people in England, Northern Ireland, Scotland and Wales obtain the debt advice they need to eliminate their financial difficulties. The website is debtsupporttrust.org. People may also call 0800 085 0226 Monday through Friday from 8 o’clock in the morning until 7 o’clock at night.
Christians Against Poverty
The country’s churches have set up a charity designed to help people with debt problems. Christians Against Poverty operates inside more than 190 churches where people obtain debt counseling advice. As a Christian organization, this charity offers more than just financial advice because it also gives people hope. However, this charity is thorough in the financial advice it gives to clients and is highly capable of finding solutions for clients’ financial dilemmas.
People can find this charity’s website at capdebthelp.org. Those who would rather call the telephone number may dial 0800 328 0006 for help as well.
Consumer Credit Counseling Service (CCCS)
CCCS Debt Remedy has debt advice for free over the Internet. Once people connect with this organization, they can obtain financial services without having to commit to taking any of the suggested actions. The company seeks to assure its clients that the consultations it has with them will be entirely confidential. Their agenda is to steer people toward a debt-free existence in the most expedient manner possible by offering several suggestions on how they both can accomplish this goal.
If people have too many debts and would like to learn how to eliminate them, they can visit the CCCS website at cccs.co.uk, or they can call 0845 345 4 345. They may call this company Monday through Friday from 9 o’clock in the morning until 6:30 at night.
Community Legal Advice (CLA)
Legal aid is responsible for CLA being able to offer its services for free to those who need debt advice in England and Wales because it funds this organization. People of low income or who are subsisting on benefits may qualify for the advice offered by this company. The legal advisors of CLA who give people specialist advice offer it for the following concerns:
• The citizen’s benefits or tax credits
• Debt problems
• Financial education
• Their housing issues
• Problems they may have with their employers
• Problems they are having with their family members
The advice that people receive from CLA is guaranteed to be independent and private. The well-trained advisors at CLA meet with new clients to learn all they can about their monetary situations. In this initial consultation, the advisors can offer an individualized solution to the problems their clients are having. First, they will have to ask several financial questions to ensure that they are legally able to offer their services to each person who presents himself for help at CLA. This organization is capable of helping people in 170 different languages with its own translation services.
Call 0845 345 4 345 Monday through Friday from 9 o’clock in the morning until 6:30 at night to find out if you are eligible to partake in these services.
Payplan is another organization that has debt advice for free. People who receive advice from this organization are assured that they are receiving solutions to their problems that are completely unbiased. This company has a plan designated toward paying debts entitled the Debt Management Plan (DMP). The DMP requires that they contribute money toward it, but Payplan does not take a cent; it offers 100 percent of the money placed in this fund to creditors.
Payplan has a website located at payplan.com. They can be reached by telephone Monday through Friday from 8 o’clock until 9 o’clock and Saturday from 9 o’clock until 3 o’clock at 0800 280 2816.
Business Debtline is a helpline offering free advice that teaches people how to extricate themselves from debt problems. Along with being offered at no charge, the advice will be autonomous and personal. This organization works with those who are self-employed in every part of the country. Since the laws vary depending on where consumers live, they will receive help from Business Debtline that corresponds to the rules and regulations of their particular locations.
The website is bdl.org.uk. If people would rather contact this company by telephone, they may do so Monday through Friday from 9 o’clock in the morning until 5 o’clock at night. The telephone number is 0800 197 6026.
The above-described organizations are not the only places where people can find help with their debt problems. The local authorities can also give advice to debtors, especially if there is the possibility of legal action being taken against them. In this case, these consumers can receive help from legal aid, and they will be entitled to the free and independent advice that the Law Centres in their cities can give them.
The Department for Business, Innovation and Skills (BIS) contains an executive agency that goes by the name of the “Insolvency Service” that handles matters of insolvency in England and Wales. The Insolvency Service also addresses insolvency issues in a limited capacity in Scotland. The Insolvency Service administers to the needs of and investigates issues surrounding individuals, companies and partnerships that are bankrupt. Amongst this organization’s duties is to determine the reasons that the above entities are insolvent.
The Insolvency Service also handles matters of redundancy. Those who have been made redundant may be entitled to redundancy pay. In the event that the employer is unwilling or unable to offer this redundancy pay, the Insolvency Service pays it for them. The Insolvency Service is also the entity that people turn to when they have questions about redundancy or insolvency.
Those interested in the laws relating to insolvency matters in England and Wales may contact the Insolvency Service at 0845 602 9848. They may call Monday through Friday from 8 o’clock in the morning until 5 o’clock at night. Consumers in Scotland will need to contact the Accountant in Bankruptcy for further information on the legislation concerning bankruptcy. The Accountant in Bankruptcy is the entity that manages the bankruptcy process for individuals and corporations in Scotland. This organization’s telephone number is 0300 200 2600. Those in Northern Ireland in this situation will want to contact the Insolvency Service Northern Ireland at the website located at http://www.detini.gov.uk.