Debt Management Advice

Introduction To Debt Management Advice?

Debt management advice is just what you need if your outgoings are larger than your income. When in this kind of a situation, you should definitely ask a debt management agency for advice. An agency like this will sort out your financial problems and make your life a lot easier when it comes to money matters.

How Do You Know If You Need Debt Management Advice?

In this day and age, people easily get carried away when applying for new credit cards or loans and they often become overwhelmed when the bills start coming. When you start having problems with your monthly payments and when you simply cannot make your payments on time, it is time to consult a professional who will give you useful debt management advice. It is never too late to ask for advice that will help you find a way out of your situation, however grave it may seem to you.

Where And How To Find Debt Management Advice

When you find yourself in a serious financial problem, the easy part is finding an agency that can give you good debt management advice. In the UK, there are plenty of agencies specializing in debt management and a large number of them are free. You can visit their websites which will give you useful information about their work, experience and different options of helping you control your debt. Online, you can also find out about experiences of people who had already been in a situation similar to yours before they asked for debt management advice. If you would rather talk to someone, you can always call their free hotline phone numbers and ask all you need to know about reducing or writing off your debt, about different solutions they are willing to offer you, how long will it take to pay off your debt and anything else that you might be interested in.

Is Debt Management Advice Free?

Debt management agencies in the UK are often, but not always, free. There are charity debt management organizations and they do not charge you any fees. However, you should always make sure that this is true because advertisements can often be misleading and you can end up owing even more money than before you decided to ask for professional advice. When it comes to fees, different agencies have different fees and you should be very careful when making a deal. Here is an example of IVA (Individual Voluntary Arrangement) fees taken from an agency in the UK, based on a client with approximately L30,000 of unsecured debt making 60 monthly contributions over a 60 month period:

  • Example monthly repayments (60 months) L330
  • Total paid by debtor (including fees) L19,800
  • Estimated unsecured debt written off on completion L15,350 (51%)
  • Nominee's fee L1,650
  • Supervisor's fees L3,199
  • Disbursements L301

All in all, debt management advice can be very useful and often necessary, but you should bear in mind that it is not a miracle and even with a good debt management plan it can sometimes be difficult to solve your financial troubles.

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Debt management Advice