We FIND and SHRINK your debt.

If you are unable to pay your debts you can apply to make yourself bankrupt. Bankruptcy is a formal insolvency route and can have serious financial implications.

Bankruptcy is often seen as a last resort and, if appropriate to your circumstances, can be applied for when no alternative solution can be found – such as an Individual Voluntary Arrangement.

A Debt Management Plan is an informal repayment agreement between you and your creditors to pay all of your debts.

Debt management plans are an alternative debt solution to formal arrangements, such as an Individual Voluntary Arrangement or Bankruptcy and available to residents of England, Wales and Northern Ireland.

You apply to a lender for a loan to reorganise, or clear your debts. These loans are often advertised as ‘consolidation loans’. This means you swap some or all of your creditors for just one creditor.

If you own your home, the lender will probably want to take a charge on it. A charge on your home means that if you don’t repay the debt the creditor has a claim on the proceeds if the property is sold.

You should seek independent advice about whether this would be in your best interests. You should shop around for the best deal from high street and internet lenders. If you have a poor credit rating, you may not be able to get loans on the best terms.

Debt Relief Orders (DRO) is a formal debt solution designed for people with little or no assets and low income.

If you don’t own your own home & have little spare income and debts that are less than £30,000 a Debt Relief Order (DRO) could be a way to deal with your debts. It is an alternative debt solution to Bankruptcy or an Individual Voluntary Arrangement and available to residents of England, Wales and Northern Ireland.

An Administration Order is a way to deal with debt if you have a County Court Judgment (CCJ) or High Court Judgment against you and you cannot pay in full. The debt must be less than £5,000 and you make one payment a month to your local court. The court will divide this money between your creditors.

To be eligible for an Administration Order you need to:

• Owe less than £5,000
• Owe Money to at least 2 creditors
• Prove you can afford regular payments, for example by giving details of your income and expenditure
• Have a County Court or High Court Judgment against you, which you cannot pay in full

You contact your creditors and negotiate an agreement to repay all or some of the debts. Negotiated agreements may involve either or both of these:

• Payments from your income
• Payments from lump sums you receive, for example from an inheritance or from relatives