Insolvency Debt Advice
What is insolvency?
You’re considered to be insolvent when you can’t afford to pay your debts as and when they become due, or if your total liabilities exceeds the value of your assets.
Insolvency is a sign that you are losing control of your finances. Getting professional debt advice when you first discover you’re insolvent could help you prevent bankruptcy further down the line.
Here we’ll take a look at some of the main issues surrounding insolvency in the UK today, and how debt advice can help you turn around your financial situation;
-
Insolvency misconceptions – Many people are under the impression that insolvency is the same as bankruptcy; this is not the case. Insolvency is a term given to your financial situation rather than a form of debt solution. Bankruptcy is a legal process for dealing with unmanageable levels of debt and can result in you losing your home and job.
-
Reasons for insolvency – From redundancy to being off work through ill health, there are many reasons that people find themselves insolvent and decide to seek debt advice. If you’ve lost your job then you may only be temporarily insolvent, but if you struggle to find another one, your insolvency could soon lead to mounting debt problems that will need to be addressed.
-
Insolvency solutions – Depending on your individual circumstances, you could be eligible for an IVA, debt management plan or debt consolidation loan to help you become solvent and make reduced monthly payments to your creditors. To find the best solution, you should get debt advice from a reputable company to ensure the solution is right for your personal circumstances.
-
Insolvency is on the increase – A recent report by accountants KPMG found that approximately 150,000 people in the UK will enter into a formal debt arrangement or face bankruptcy in 2009. The number of people considered insolvent will also rise to record levels. Getting debt advice as soon as you realise you’re in financial trouble is critical if you want to avoid being made bankrupt.
If you’re finding that you can’t make all your monthly repayments when they’re due then now is the time to take action.
If you would like more information,
ring Debtsolver now on 08000 434 336 (Free for UK residents only) or complete our
debt wizard to see if you qualify
