People looking for ways to write off debt rapidly after the Christmas Expense

People looking for ways to write off debt rapidly after the Christmas Expense

People in the United Kingdom have soaring personal debt, but this is never more pronounced than just after the Christmas period when those bills hit the mat and the panic begins.

The average personal debt of British residents is £15,000 per person, and this is steadily on the increase from one year to the next and the stress of debt is linked to high blood pressure, weight gain, and a range of other health issues.

Ways to write off debt?

There is a debt solution that is government supported (known as the IVA) which has the capacity to write off 85% or more of your debt once the arrangement is completed (usually within around 5 years).

It is a financial solution which is growing in popularity that has the immediate effect of consolidating debt repayments and preventing creditors from calling you directly, and in the long term the excess debt left over after five years of the plan is written off as part of the government supported scheme.

With people having financial issues with debt collection agencies such as Cabot financial they are looking for urgent ways to eliminate debt because of pursuit from bailiffs, chasing from creditors, and increasing debts due to the influence of interest rates and charges, for all these reasons it is important to address debts urgently, and if it is possible to write off debt, then it may be advisable to do so to prevent the amount from getting worse over time.

Cabot financial are debt collectors which have a reputation amongst people in debt and these are one of many companies that people struggle to negotiate with, this is not to say that Cabot financial ltd are doing anything wrong by chasing debts on behalf of others but this has the knock on effect of causing a lot of stress and panic amongst people with money problems which can often lead to other issues.

Recommended solutions for people in debt panicking

There are several solutions for people in debt living in the UK right now:

DMP (Debt management plan) – this is a more informal debt solution which allows for a renegotiation of monthly repayments, sometimes this can result in reduced interest and charges for people but creditors are not obligated to go along with that in a DMP

The IVA (Individual Voluntary Arrangement) – This is the more formal debt solution where the person in debt is protected by legal injunctions, the monthly repayments are legally protected and all bailiffs and debt collection agencies much comply by court order, at the end of the arrangement any excess debts are written off completely.

Bankruptcy – this is the last resort for anyone with severe money problems with no income and insurmountable levels of debt with no prospect of repayment.

In summary

There is nearly always a solution for people in debt no matter how much it is and who you owe, the main requirement is to actually address the problem itself and not just ignore the problem, this is the first step in becoming debt free.

Categories: Finance

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