Small Business Help & Advice Ireland

Small Business Help & Advice Ireland

Small Business Help,  Advice an News in Ireland | Irish SME

Irish Debt and bankruptcy advice service Call +44 1425 600129 We know the problems you are facing and want to help. We are experts in business recovery and insolvency matters.

Providing positive solutions to negative situations. we are not magicians but we provide you with an experienced adviser who will provide you with practical advice and guidance to attempt to get you in the best possible position according  to your circumstances.

We provide a free Pre Bankruptcy Consultation and can often deal with most matters that arise post bankruptcy. A straight forward approach to business is how we operate, all our fees are transparent and you will receive an email after the consultation that will enable you to see clearly what we need to do and what the likely cost is going to be.

Debt Help Ireland

Debt Help Ireland

 

 

 

 

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Debt Help Ireland provides 

DEBT HELP IRELAND PROVIDE POSITIVE SOLUTIONS SUCH AS DEBT MANAGEMENT PLANS INDIVIDUAL VOLUNTARY ARRANGEMENTS AND BANKRUPTCY

Its hard to know where to turn when the odds are stacking up and all the financial  elements are conspiring against you, it’s difficult to see how to see how you are going to get through this period. As survivors we are forced to rely on our cunning and our wits to get through a difficult and sometimes impossible situation, where your senses are challenged. Survival and communication skills are essential to identify your problems before they arise, enabling you to head trouble off  as it appears.

If debt has caught up with you for the first time, or if you have been struggling with debt for a number of years then we want to hear from you. If you are in a Debt Management or an Individual Voluntary Arrangement (IVA), we can get can you out of it saving you thousands of pounds and many years of stress and pain, we can also rebuild your credit rating (which you need to be truly DEBT FREE).

If your considering bankruptcy, or if you want to be debt free and find out how to control, manage and rid yourself of your debts then contact us today for no obligation, professional, debt help and advice. Our Mission is quite simply this: Whatever debt problem you have, with over 14 years of experience our debt counsellors and debt coaches are here, every day for your convenience. You can always just take the debt test and one of our Debt Help Experts will contact you with the results.

Being the Leading Independent Debt Help, Bankruptcy Advice and Financial Solutions providers on the net we specialize in taking you through the process of your debt solution. If you have decided that bankruptcy is in your best interests then let us guide you through the process. As we are a whole of market debt help, advice and solutions provider of information and support that is in your best interests and not your creditors.

Important: Is Bankruptcy the right option for you?

  • Do you have individual debts of £5,000 or more?
  • Are you a Sole Trader with unmanageable liabilities?
  • Are you a Company Director or Company Owner?
  • Are you disputing bankruptcy or asking for more time?
  • Are you in an IVA which is simply not working for you?
  • Considering a Debt Management plan or IVA?
  • In a Debt management plan or IVA which has failed?

If you can answer yes to any of these questions then we can help you today.

www.debthelp.ie provides positive solutions to negative situations and prides ourselves on being the best we can. Established since July 1998 we have assisted and continue to assist thousands of people in situations similar to yours. Click Here to See our Client Testimonials for examples of people we have helped. Simply give us a call or complete a ‘Call Back Request’.

Are your Debts Under £15,000? We can get you debt free in 9o Days!!

  • Are you in a Debt Management that is going no where?
  • Does the Debt Management Plan send monthly reports?
  • Do you know up to 40% of a Debt Management goes to the Debt Company?
  • Would you like commission free Debt Management plan?
  • Would you like a commission free IVA & save £1000′s?
  1. Once we have established the best debt solution for your needs we will get to work the same day on delivering the solution to you.
  2. Debt Help will talk through your circumstances and establish practical steps for you to consider. By the end of our initial conversation with us you will have a clear idea of options for you to consider. Most clients feel a huge degree of relief once they know what they are facing and what can be done to help. You should look at Insolvency as a tool kit or medic kit which is designed to provide you the debtor with a ‘Fresh Start’
  3. If you are an active Company Director then it can be an absolute minefield of consequences depending on the decision you make at the time. Debt Help.ie will help you by providing critical information to assist you through the process.
  4. It may be that you have assets such as a home, business or savings which will be at risk if you have received a statutory demand or threats of bankruptcy. It is critical that you get the right information when navigating yourself through this period.
  5. It may be that you just need more time in which case an application for adjournment is the logical solution. In which case we can arrange for certain applications to me made and may even be able to negotiate terms with the petitioning creditor

FREE Bankruptcy Survival Guide

When we receive your enquiry we will strive to help you with your individual financial situation and offer you options for resolving it. With every inquiry made we will give you free access to our detailed and extensive ‘Bankruptcy Survival Guide’ in our efforts to provide you with positive solutions to negative situations.

We want to help you and our telephone lines are manned 24 hours a day for your convenience. You will receive the very best customer service, and we will keep you updated throughout the service by whatever method suits you best. We will arrange face to face appointments and in some instances can accompany you to court if this is something that you require. We are here to assist you through difficult financial times by offering a co operative and friendly service combined with a commitment to assist our clients every step of the way. Our services are extensive and provide excellent value for money coupled with a professional and logical service throughout.

At the outset www.debthelp.ie would like to assure you that data protection and on-line security is of great importance to us. We are fully compliant with the Data Protection Act 1998 and are officially licensed to hold sensitive information (Registration: Z2367786). We are currently investing significantly in SSL website security to reinforce our commitment to providing a transparent, professional and completely trustworthy service.

Debt Test

debt Test

Take The Free Debt Test Now & Start Your New Debt Free Life Today

PLEASE FILL IN ALL THE DEBT TEST FIELDS SO WE CAN GIVE YOU A COMPLETE DEBT TEST RESULTS

Your Situation

Amount of Debt:

How Many Creditors:

Employment Status

Current Income

Residential Status

Your Details

First Name:

Last Name:

Phone Number:

Email Address:

Where Do You Live?:

Debt Help Testimonials

Debthelp.ie Testimonials, Over the years we have helped hundreds of people in all kinds of situations. We always offer the best advice, in the best possible way. We understand that this is a scary and daunting time, and we are here to make it as easy as possible. Don’t take our word for it. These are real reviews from some of our previous clients.

“I am writing to thank you after what has been a very stressful couple of years. I found myself in major problems concerning debt about 4 years ago. I dealt with two companies, Baines and Ernst and Blair Endersby who put me on to a debt management programme (Baines and Ernst) and then an IVA (Blair Endersby) neither of which were to my advantage as I later found out.”

I began dealing with you in March 2008 when it was pointed out that bankruptcy would have been a much more suitable option for me. I wish I had been told this about 3-4 years ago as a lot of money and more importantly stress could have been avoided.

I have been through the process with you, attended court in December 2008 and am now nearly two months into my 12 months of being declared bankrupt. It has been an almost painless process and the fear I once felt about being in debt, having to be declared bankrupt, attending court etc has now been lifted and for the first time in years, I feel like I can breathe properly again and look forward in the future.”

Mrs M Devon

“With regard to your service when you assisted with my bankruptcy, I found your services to be very good, your people were very helpful, kind and understanding and everything went very well with your company doing my bankruptcy. I thank you for all that you did.”

Mr A, Ringwood

“You and your company helped me with my bankruptcy in September of 2008. I was at my wits end until I spoke to you and you were so helpful and put my mind at ease. I am sure there are many people in what was my position needing help and guidance and your people can do this.”

Miss L, Merseyside

“As you may be aware, on 22 January my partner and I went to court to become bankrupt. The whole of the last eight years for us as a couple have been in debt. We have tried debt management and even considered an IVA. It was only after speaking to your office that we felt we had enough information regarding both options as to decide what to do about our future.

After you explained bankruptcy to us, we felt that this was the way forward for us. The whole process set out by your company made it easy for us to start and complete the process because as you are aware the forms could be in another language for all the sense they made to me. I only had to fill in one form for myself and my partner and you did the rest.

The whole process from the original enquiry to our court appearance could not have made it any easier. I just wanted to take the time to thank you for all that you did for my partner and myself in helping to deal with our debts. You have given us a new lease of life not having to worry as to how we were going to pay off our debts.”

Mr B, Devon

“I would like to take this opportunity in telling you that I have been 100% happy with the service and the support that your company gave me and my partner during a very difficult and stressful time for both of us. Without your continued support I really do not know how things would have turned out for us.

At no point did we feel that we were mis-sold any information. You explained our options and explained our best solution to our financial situation to which we are extremely grateful. We were also given the opportunity to call at anytime with any questions we had and they were answered without any hesitation and it was all done in a professional manner.”

Mr P G & Ms J G, Swanage

“As a customer or client I personally could not fault you in any way shape or form. You helped me through a very difficult period. I had nothing but professional and quick help.”

From a very satisfied client

Mr J T, Dyfed

“I wanted to thank you for all your assistance through this difficult time. Right from the start everything was explained clearly to me to understand and there were no hidden costs or surprises. You really have been there every step of the way and have always taken the time to answer any questions I have reliably and promptly.

Again many thanks for your assistance and now I am so relieved that I can finally start my life again.”

Miss B, Blackpool

“Well as you know I submitted my petition on 4th April and I must say it feels like a huge weight off my shoulders already. I would just like to say a big thank you to you for the help and information you gave in preparing my petition and statement of affairs.

This has been one of the biggest decisions I have every made in my life but I am glad I made it as now I can move on. I have dealt with many companies over the past few years who have all offered me a “miracle” solution to my debt problems. I will not say what you have offered me is a miracle but your honesty and straight talking has really helped me solve my debts.

Thanks again and keep up the good work.”

Miss Al-M, Salisbury

“First of all I would like to thank all concerned at your company for assisting me though this stressful and difficult period in time. I like many other people found it very worrying when faced with no other alternative but bankruptcy. I looked at all other avenues available to me, for fearing what bankruptcy entailed.

After having several conversations with your representative, I explained my situation to him and my mind was put at ease. Everything was dealt with in a polite and professional manner and any queries that I had was dealt with both professionally and efficiently. Within no time at all my bankruptcy was dealt with and I was then able to carry on with a normal life without the fear of my creditors constantly hounding me. It has been money well spent to be relieved of the stress and worry with the knowledge and support of your company

Once again many thanks”

Mr C, West Yorkshire

“I am in full support of you and your colleagues. At what was a very anxious and vulnerable time, I was made to feel that I was not guilty of any misdemeanour (though this was how I did feel at that time) and any questions I asked were answered truthfully. I was frequently given other options in the answers and was at all times made to feel comfortable about the course of action I was having to take.

I considered the manner and attitude of everyone I spoke to was completely professional and extremely helpful and as a result of this the entire procedure was smooth running, right up to and including my appearance at Court.”

Mr A M, SWADLINCOTE

Commercial Insolvency Help Ireland

Commercial Insolvency Help Ireland

Commercial Insolvency Help and Information, If your business is experiencing difficulty in trading and has over £25,000.00 of trade creditors then call our Business Crisis Line on 0800 5977977  We offer a fast and efficient service.

We provide a ‘hands on’ approach by applying our knowledge and expertise to stabilizing and improving the position. If we can help you then you will have peace of mind at the end our conversation where you will know that there is a workable plan moving ahead or not.

We do our very best to accommodate the sensitivities that are often so present in businesses facing crisis for one reason or another. We apply co operative principles to our approach and fully understand the pit falls and the challenges involved in surviving in business.

Services offered:

  • Issuing or defending Statutory Demands
  • Affordable legal services
  • Credit control / debt recovery
  • We can deal with your customer complaints and any disgruntled clients
  • Individual and commercial insurance claims management (eg personal injury or business insurance claims)
  • Employment issues
  • Helping you to regain control of your business

Bankruptcy Commercial Law Advisors

Bankruptcy Commercial Law Advisors

Bankruptcy Commercial Legal Advisors , Competitiveness means getting rid of unnecessary overheads. Legal costs are often prohibitively high and legal aid is available for only the neediest. Our business model empowers your business to fight your case with minimal legal costs. We hold law and master degrees and have extensive practical experience in assisting with legal issues and disputes.

We help companies faced with the threat of losing their license to trade, for example in relation to consumer credit licenses, estate agents’ licenses, etc.

Commercial Litigation:

Conducting and/or defending commercial litigation can be extremely disruptive to conducting any business and can divert valuable resources. We provide you with the entire legal and intellectual wherewithal to fight your opponent.

Contract Disputes:

We are experts in contract law and assist you throughout the entire legal process, for example with Witness Statements, court bundles, skeleton arguments, case summaries, etc.

Cyberlaw:

With the internet having become an essential feature of everyday life, online contracting and distance selling have become common place. This also leads to a variety of legal issues pertaining to for example jurisdiction, online brand defamation, spam, privacy, data protection, cookies. We educate companies on these issues and help formulating 21st century online strategies. We can also be hired by brands to carry out counterfeit checks on popular trading sites, initiate subsequent legal processes and liaise with relevant authorities.

Deal with Disgruntled Customers/Clients:

We believe that it is often entirely unnecessary that court proceedings are initiated; but businesses simply have not always got the time to deal adequately with customer complaints. This reflects badly on your company, as it displays a lack of after-care and can result in unnecessary legal disputes. We can deal with this often unpleasant aspect in a professional manner, which at the same time protects your best interest.

Dispute Resolution:

Dispute resolution has become exceedingly popular. It encapsulates a variety of processes, such as negotiations, mediation, either judicially or extra-judicially. Our professional Consultants will help establishing a dialogue between the disputants, help identify and evaluate issues and options, set an agenda, formulate the facts to bargain and assist with the formulation of the agreement.

Drafting:

Choosing the right words in today’s litigious environment can be of paramount importance. We review any type of document, draft exclusion clauses, amend agreements and can also formulate specific content.

Due Diligence:

We will scrutinize any particular project rigorously, carry out due diligence checks in relation to business transactions, thus enabling you to analyze the pros and cons objectively.

Specialist Negotiations:

We are relentless in ensuring that desired terms are pushed across, whilst being courteous, professional, strategic and diplomatic.

Partnership Disputes:

Being embroiled in a partnership dispute with a previously trusted partner can be emotionally challenging. We will stand firm behind you, avoiding unnecessary legal complications and helping you with settling matters amicably without prejudicing your interest and/or vigorously helping you fight your case.

Preparing Company Minutes, Board Resolutions, Discharging your Director’s Duties:

Running a company often leaves little time for the necessary formalities. We are there to ensure that paperwork is in proper order, minutes and board resolutions are duly recorded and requisite directors’ duties are discharged.

Property Disputes/Litigation:

We can help you if you are a company owning many properties, unable to deal with for example leaseholder issues, tenancy problems or are intending to commence or defend property litigation.

Tortious Disputes:

We help businesses, such as auditing firms, accountants, surveyors and estate agents, contest negligence claims.

Intellectual Property Matters:

Our information society depends heavily on information, copyright, design, trademark and patent protection. We conduct surveys for trademark disputes, provide you with the full support to pursue the infringer and also help with non-contentious matters.

Commercial Bankruptcy Ireland

Commercial Bankruptcy Ireland

Commercial Bankruptcy Ireland, If you are a Director of a Company or self employed running your own small business, then the Money Advice Service can connect you to a specialized agent in corporate insolvency. They can help you from the most basic of business issues to the most complex of company problems. Not only are they able to provide you with company liquidations and pre-pack liquidations but they can also assist with a Company Voluntary Arrangement (CVA) or an Administration Order.

To speak to an ad visor fill in the contact form to speak to a business specialist who can talk through your situation and provide you with a series of options – alternatively call 0800 5977977.

Every business has its own unique problems. Yours may be in a position where you are struggling with sales or lack of new business. Maybe you are not being paid on time, or even at all by debtors.

Whatever the reason, we may be able to refer you to a company who can assist you with a business change program to assist you in turning around your business. This can be offered to you at the same time as a pre-pack liquidation or CVA and can often help a company trade its way out of a negative situation rather than deciding to put a company into liquidation.

Business Finance

With the banks and many financial institutions getting continuously anxious about the monies they have lent to people, it is no surprise that companies are receiving very worrying and concerning letters from their lenders. If you have sufficient equity available in your assets, we can org anise a business finance broker to contact you. They may be able to provide you with a finance offer which will enable you to pay off your existing lender and replace them with a lender that has a much more commercial mindset.

Business Mortgages and Business Finance

It is evident that despite their protestations, the main banks have all but withdrawn from property based lending and are loathe supporting companies and business individuals who are in need of financial help. The most damaging aspect to this is that the banks are not candid about their lending policies and they continue to purport to be open for business. Business as usual they cry. Not so. Valuable time can be lost finding out that the high street will not help with the consequential delay exacerbating the problem.

What then is the alternative for the business person in need of financial assistance? A Business Finance Broker will be knowledgeable about the whole of the lending market. The broker should be independent of any particular institution and will be able to give unbiased information and assistance.

If a business is in a challenging situation and finding it hard to raise funds they will need to identify whether the main issue is the serviceability of proposed borrowing or, the value of the security to be relied upon. If the ability to repay is hard to prove, but adequate security is offered, the solution may be a short term or bridging loan, sometimes called a high speed bridging loan – such as it is because a valuation and legal due diligence are the only processes and these can be progressed simultaneously and quickly. This means that the borrower quickly receives much needed funds and has a window of time to address the ongoing issues affecting his business and the broker can work to prepare the business for a more traditional business mortgage. If there is no suitable security they can look to other types of business finance such as receivables finance. This can take the form of factoring or confidential invoice discounting. This is effectively an instant advance against monies owed to the business.

In fact the economic downturn has seen the evolution of more imaginative ways for business persons to raise cash. Payroll funding is relatively new. The lender meets the payroll of a company for two months. On month three and thereafter, the lender meets the payroll again and the company reimburses the lender for month one and so on.
Another example is advances against card terminal receipts. An advance is made against projected receipts and repaid by a deduction from those payments as they are received.

Another source of funding is from private investors. People seeking a return on their monies that is no longer available from bank and building society deposits are investing directly by lending to businesses disenfranchised by the banks. This is especially prolific in the property development sector.

So next time a bank manager says that his computer cannot help – be aware that it is more than likely that an experienced business finance broker may well have an alternative solution. Brokers are committed to assist you if they possibly can.

IVA to Bankruptcy

 IVA to Bankruptcy

What is an IVA and What are the benefits of entering into an IVA?

What is an IVA, An IVA should only to be considered if you have got assets to protect or are in employment that will be affected by you entering into bankruptcy (check your contract of employment).

  • Your assets are protected in an IVA.
  • Up to 70% of your debt may be written off using Government legislation
  • You may still be able to get credit on personal household goods and services, or even, if you are self-employed, for business goods and services. You may also be able to re-mortgage your home – although since 2008 this has become increasingly more difficult.
  • Some of the problems which may arise when going bankrupt are avoided. For example, you may avoid losing your home if there is equity in it. However, you could face these problems with an IVA if the creditors vote to include these restrictions in an IVA. If you are thinking about an IVA then it is worthwhile having the agreement checked by a 3rd party before committing yourself to such an agreement.
  • An agreement may be reached limiting the liability for interest.
  • Creditors who do not agree with the scheme will be bound by it if the majority vote (Namely 75% of the total amount of debt) to the proposal being made at a creditors’ meeting. Creditors cannot then take further action against you if you comply with the requirements of the arrangements.
  • Creditors can still claim tax relief against the bad debt as they can with bankruptcy.

What are the disadvantages entering into IVA?

  • Although 70% of your debt might be written off, a large percentage of this is added back in IVA set up fees.
  • IVA fees can range from anywhere between £5000 – £13,000 depending on the amount of debt involved.
  • You may have to pay more to creditors and for much longer than you would do if you became bankrupt.
  • For example, you may have to volunteer to pay regular contributions from your salary over a period longer than three years in order to make the arrangement attractive to creditors.
  • Your home and assets may still be at risk. (There is a review conducted in the fourth year of your IVA that can ask for equity to be released from your property).
  • If the IVA fails, you can still be made bankrupt.
  • All IVAs are recorded in a public register which may make it difficult for you to apply for credit in the future. You are still classified as bankrupt as you are unable to pay your debts as they fall due.
  • Failure to re-mortgage your property in the 4th year often results in you having to remain in the IVA for a 6th or even 7th year
  • You will probably need to spend more time with an insolvency practitioner working out how to realise your assets than you would spend with a trustee if you became bankrupt. The costs of paying an insolvency practitioner are high.
  • If you are in certain professions, for example, a solicitor, entering an IVA may mean that you can no longer practice, or may practice only subject to certain conditions.
  • A creditors’ meeting cannot approve of an IVA which affects the rights of a secured creditor unless that creditor agrees.
  • IVAs do not end in automatic discharge (unlike most bankruptcies).

Speak to us at Debthelp.ie

Before entering into an IVA, we strongly suggest you contact us to discuss whether this is indeed the right solution for you. If it is, we will then direct you to our appointed Insolvency Practitioner, who will happily discuss all the elements of an IVA. If an IVA is not the right solution for you, we will ensure that you are given the best advice possible on a more appropriate solution. 

Company Liquidation Guidance

Company Liquidation Information and Guidance

We offer a completely free initial consultation for prospective clients and are confident that our business recovery service, drawing on twenty years of experience, will secure your business for the keenest price.

The starting point for any company liquidation is determining exactly how company liquidation or insolvency proceedings are initiated and what is going to be involved. How much is this going to cost and how long is the process going to take.

As an initial point of reference Companies House offers guidance on corporate voluntary arrangement, liquidation, receivership, and administration as well as giving general information on insolvency. For most directors we strongly recommend taking professional advice going ahead with any of these proceedings that are discussed on the Companies House website. The professional service most suited to this area of the law is an insolvency practitioner.

General Company Liquidation Guidelines

First and foremost most people want to know what the difference between a voluntary and a compulsory liquidation constitutes. Broadly speaking a voluntary liquidation (which can be either a members’ voluntary liquidation or a creditors’ voluntary liquidation) is brought about by resolution of the company and is usually conducted by an insolvency practitioner.

A compulsory liquidation is brought about by an order of the court and can be conducted by the Official Receiver or a qualified practitioner. Frequent asked questions that most people wish to know is whether the people responsible for insolvency proceedings hold should any kind of qualification. Anyone undertaking the duties of liquidator, administrative receiver, administrator or supervisor of a corporate voluntary arrangement should be a qualified insolvency practitioner. Those holding the position of receiver or manager do not need this qualification, nor does anyone who was already in office before the Insolvency Act 1986 (for England, Wales and Scotland)

Do insolvency proceedings mean the company is insolvent and whether it will eventually be removed from Register? This is not always the case. In a members’ voluntary liquidation, the directors of the company swear a statement, known as a ‘declaration of solvency’, to agree that the company will be able to pay all its debts within a period of twelve months or less.

Specifically in the aforementioned circumstance the company is not classified as ‘insolvent’. Another key question that is asked time and again is whether a dissolved company can remain on the Register and whether dissolution can be deferred.

In answer to this is that unfortunately the Registrar cannot defer the dissolution which follows a liquidation proceeding. In some cases involving voluntary liquidation, an application can be sent to the court to defer dissolution. For compulsory liquidation, an application would need to be send, by an Insolvency Practitioner, to the Secretary of State in England and Wales, or the Department for Trade, Enterprise and Investment in Northern Ireland. In Scotland, any application to be sent must be made to the court to defer the date of dissolution. The deferral notice/order must be filed with the Registrar following the registration of the concluding documentation in the liquidation and before the date of dissolution. Once dissolution takes place, you will have to apply to the court to have the dissolution declared void.

For more information please click our accredited Insolvency Practitioner link in the interactive portal above. The link will put you in direct contact with the professional service you require and has been independently verified by Debthelp.ie

Debt Solutions Ireland

Debt Solutions Ireland

Debt Solutions Ireland offer to help people in Debt. But Beware of the fees and be careful not to be sold a debt management plan if all you are looking for is information.

Debt management plans  usually only help with non-priority debts. They charge a fee to consolidate debt payments into one payment, which is made direct to the debt management company, or to negotiate with your creditors. Some debt management companies do not charge you a fee, but are paid commission from creditors on the assumption that the debt management company will recover some of the debt on the creditors’ behalf.

Debt Management Companies

Some creditors refuse to deal directly with debt management companies. If a creditor will not deal with a debt management company, then you will have to deal separately with that creditor.

The Office of Fair Trading defines a fee-charging debt management company as one which charges a fee for:

  • Providing advice on how to restructure debts, how to alter debt repayments or how to achieve early settlement of debts.
  • Providing contacts with creditors in order to make any of the above arrangements (whether this amounts to negotiation or not).
  • Providing a facility for a debtor to make one single payment to the agency which it then distributes on her/his behalf to the creditors.

Reviewing the debtor’s financial circumstances and/or payments.

Is Debt Management right for me?

This solution is becoming increasingly popular for individuals who own a property, have assets and/or run businesses. It provides an easy and flexible approach to managing your debts without the legal and contractual restrictions which apply to an IVA.

A Debt management plan can be an effective solution if:

  • You want the harassment of creditors to stop.
  • You are struggling with unmanageable debts.
  • You feel obligated to pay your debts but are unable to make the minimum payments.
  • You’d like to pay one affordable monthly payment.
  • You would like the interest on your credit cards and loans frozen.

Over the last 5-10 years debt management has become an extremely popular way for people to manage their debts.

DMCs are most suitable for people with between £3000 and £15000 worth of debt and are in a situation where their finance may change within a period of the next 10 years. During a plan, advisors will be on hand to aid you in every way regarding your debts. They will work tirelessly to stop all the contact you may be receiving from your creditors and get them to accept informal arrangements for repayment at a lower level. They also aim to freeze or reduce the interest and charges. You then only have to pay your debt management company one payment for all of your debts and this can be up to 70% lower than what you were previously paying.

Debt management is a fantastic solution for those who are really just looking for respite from repaying their debts and can see a silver lining in the future. Examples of this would be short term unemployment, maternity leave or an unspecified time of absence/sickness from work. A Debt Management plan is also a useful way to stall and prevent action when you are falling behind with your repayments as might be the case when you are temporarily unemployed or are on maternity leave.

A good example would be for those who are self employed and may be waiting months for a payment/payments to come in. This may mean that he cannot afford to repay the full amount owing to creditors. In the meantime however, he knows that at some piont he will be able to resume repayments or clear the debt altogether.

What are the advantages of using a Debt Management Company?

  • Feeling of more control over your debts.
  • Instant phone access to the debt management company – no waiting for an appointment.
  • Anonymity. The debt management company deals with everything over the phone.
  • Convenience – the DMC does the work for you, e.g. drafting letters to creditors.

What are the disadvantages of using a DMC?

  • The fee – often equal to one month’s payment – about £200.
  • Possible one-off deposit payable at the start of the debt management agreement.
  • Possible administration fee of £30 a month for the debt management company to distribute payments to creditors.
  • Fees paid to a debt management company will reduce what you are able to pay to creditors.
  • They cannot always guarantee results. Creditors can still take action against you and don’t have to accept reduced payments or freeze interest.
  • Creditors can refuse to deal with a debt management company.
  • Creditors can consider rescheduled payments as a default and record this on your credit file. Where a first payment is taken as a deposit, account payments usually go into arrears.
  • Where a debt management company advises you not to communicate with creditors but pass correspondence to them, you could find yourself subject to legal action taken against you by your creditors without your knowledge.
  • Debt management companies will often only deal with non-priority debts. If they do accept priority debts, they are likely to consider all debts of equal importance and not pay priority debts any faster.
  • DMCs cannot give financial advice to maximise your income or ensure you are claiming full benefit entitlements. They may not be able to advise you of all options open to you.
  • DMCs may only want to deal with you if you receive an income and own your home so that they can place a charge on your property.
  • If a DMC does not produce a realistic financial statement, you could be expected to make unrealistic payments and could be more likely to default.

If you wish to use a Debt Management Company, our associate advisors will go through all of the above with you before you commit to any debt management agreement.