One Advice | Bankruptcy, IVA & Debt News

When it comes to debt management, UK consumers who are struggling with their unsecured debts have a range of debt solution options available which can help.

Are you finding that you can no longer afford to pay your unsecured debts? Are your outgoings more than your incomings? If this is you, you are not alone. You may be looking to seek debt advice or have already got in touch with a financial solutions company, either way it is essential that you understand what your debt solutions options  are and what a debt management company can do to help

There is not just one debt solution out there. The right debt solution for you is dependant on a number of different circumstances, such as your income, level of unsecured debt and secured debt commitments. We would always recommend that you seek professional advice from an ethical debt solutions company, as you want to be sure that you are advised about the right debt solution for you.

Debt solution options include:

• Debt Management Plan: A debt management plan allows you to consolidate your debt into one lower monthly payment without the need for any further borrowing.
• Individual Voluntary Arrangement (IVA): A legally binding agreement between you and your unsecured creditors, allowing you to repay an affordable amount of your unsecured debt over a typical period of 60 months. All additional interest and charges will stop and any unpaid debt will be written off on completion of the agreement.
• Bankruptcy: One debt solution which you could consider is bankruptcy, however this is an extreme debt solutions with long-lasting effects. You should always consider alternate debt solutions and explore your options before declaring bankruptcy.

Whatever your personal financial situation, we would always recommend that you seek expert advice so you can benefit from experienced and professional advice in dealing with your debts and be advised about the right solution to deal with your a debt management problems.

The number of people in large amount of debts is increasing all the time and more people are actively seeking out ways in which they can reduce their outgoings.

But overspending can often be the result of basic financial error, such as:

1: Taking out a credit card to pay off another credit card.
The problem here is that although you may start off with good intentions, it can be all too easy to start build up debt on both of these cards! You will be paying high rate of interests on both of your debts.

2: Missing payments.
Missing payments can cause a number of backlashes. For example, you will have a charge added to that debt as you have not paid it, you will have to pay the minimum payment as well as the next due payment next month and missing payments regularly will damage your credit rating.

3: Retail Therapy.
Often seen as the way to bring a bit of spark back into our lives during the down times, it can become a financial nightmare! You need to make sure that you can afford to treat yourself to that luxury item before you flex your plastic.

4: Not facing up to your finances.
It can be too easy to sweep your finances under the carpet and leave those Red Letters unopened. But if you are struggling then you need to regain control of your finances. The longer you leave it the more it will impact your financial future.

One Advice understands that the number of different products to help you with your debt can often seem confusing and you might not know where to turn. But we can offer you FREE help and advice on your debt and offer you potential solutions, no matter how bad your debt has become.

Please see our website www.oneadvice.co.uk or call our advisors today on 0800 048 1752.

Understanding the different debt solutions from a debt management company can be confusing. There can be a number of debt solutions on offer but it is essential that you fully understand the benefits which each debt solution can give you and what the advantages there are over alternate debt solutions.

The different debt solutions are specifically designed to help people with different kinds of debt problems, and the debt solutions you may come across include a Debt Management Plan, IVA, Debt Consolidation Loan or Trust Deed.

The advantage of there being a number of debt solutions means that it is likely that there is one to suit you, the downside can sometimes be knowing which one is the right one! This is where a Debt Management Company can help, they will take an holistic overview of your finances, take into account your incomings, outgoings and level of debt. From this information they will help you decide which debt solution can sort out your debt problems as quickly as possible.

One Advice can offer you a selection of different debt solutions but we would never over-complicate the situation for you. We will make the process as simple as possible  and, if you take one of our Debt Management Plans or IVAs, we will deal with your creditors on your behalf so you don’t have to worry about a thing!

If you wish to find out more about the different debt solutions from a debt management company, take the One Advice 1 Minute Debt Test to see what debt solutions options you have…

When trying to discover the right type of debt management advice you may come across the term ‘priority debts‘. Understanding what this means is essential when sorting out your finances, as you need to establish what your priority debts are.

An expert debt advisor should be able to explain the differences between priority debts and non-priority debts, and this will help them come to a debt solution which is right for you. Obviously all your debt is important, but priority debts are those which carry huge consequences if you miss payments, such as repossession if you fail to keep up with your mortgage payments.

Priority debts include:
* Mortgage or rent payments
* Council tax
* Utility bills
* Court fines
* Hire Purchase
* Other debts secured against your home, such as a secured debt consolidation loan

Non-priority debts include:
* Unsecured loans
* Store cards
* Credit cards
* Overdrafts

If you go into a debt solution with One Advice, such as an IVA or Debt Management Plan, we will always take account of how much you need to pay to your priority debts and ensure that these are affordable to you. After that we will then work out how much you can afford to pay to your non-priority debt.

So if you’re struggling to meet repayments to your non-priority debt due to high levels of priority debts, please speak to one of our expert debt advisors today on 0800 048 1752.

There is no doubt about it, with the cost of living on the rise and £165 million pounds worth of school loans taken out for schooling fees last year, it is important that all parents keep an eye on their debt levels.

Within the next three years, a single parent with a child as young as seven could be forced into work or risk further debt management problems, as the government transfer their income support into jobseekers allowance. Currently a single parent is able to claim income support for a child up to the age of twelve years but by 2010 this age will be reduced to seven.

It is likely that more single parents will have to seek debt advice as the rise in every day expenses, such as food prices and fuel bills, means it will be very difficult to survive financially if income support stops being paid. It is estimated that the cost of raising a child from birth to the age of 21 is more than £180,000.

Chief Executive of the Child Poverty Action Group, Kate Green, comments: “Taking money away from families who are already poor, will simply increase poverty and many children will have their health and well-being put at risk.”

5 Debt Advice Tips for Single Parents

1: Check your Benefits

The benefits system is designed to help you and it is important that you are claiming for everything that you can. It is estimated that people across the UK are missing out on more than £8 billion pounds a year in tax credits and benefits, so make sure that you are not one of them. There are many ways that you can see what benefits you may be eligible for, try the online benefits calculator at http://www.entitledto.co.uk.

a) Income Support:
Income support is based on your employment status and is available to people between 16-59 years old who are on a low income and are working less than 16 hours per week, or are unemployed. For more information and to see if you can claim for income support, please get in touch with your local Jobcentre Plus Office.

b) Child Benefit:

This is a government funded benefit which is paid for each child and is not determined by your employment status or savings. You should be eligible if your child is under 16, 17 and under and has registered to work/train with the Careers Service or Connexions Service, or if they are under 19 and in full time education. For more information please contact your child benefit office.

Even if you have a job and your child is in college, they could qualify for Education Maintenance Allowance which means that they could earn an additional £30 per week.

2: Budget
It is important that you set a realistic budget for your household and stick to it. Although it might be hard to do at first, it is one of the best ways for you to control your outgoings and your debt levels. This way you should also be able to set aside extra funds for birthdays and Christmas, so that you don’t find yourself going without.

3: Switch Your Suppliers
There is no use being with a company who do not offer you value for money, and switching to a more cost efficient plan or a new supplier could save you hundreds of pounds. Although it might sound like a bit of hassle to change, it is a simple process and worth the extra effort as companies often offer the best deals to new customers.

Think about the areas where you can save money, such as broadband, telephone line, gas provider, electricity provider, digital TV etc.

4: Avoid further debt
When your finances are getting out of control, many people think that a short term solution is to take out credit cards or an unsecured loan so they can afford to pay for their current debts. But using one form of debt to pay off another can be a vicious circle of debt which is often hard to break.

Always try and avoid making payments or purchasing items with credit or borrowing additional money if you don’t need to. If you must take out further credit for an expense that you cannot avoid, then try to make sure that you pay it off the following month so you are not stung by high levels of interest. Try to avoid store cards at all costs, which have been described as the debt “devil” due to their extortionate interest rate.

5: Take Debt Advice
If you are struggling with debt then please feel free to get in touch with One Advice. No matter what your situation, we are here to help. We can speak to your creditors on your behalf and try to negotiate a lower monthly payment to your unsecured debts. You might find that paying less to your unsecured debts means that you have more money for household costs and your secured repayments, such as a mortgage or hire purchase.

Free Debt Advice for Single Parents

If your debt levels are becoming a struggle, then it is important that you seek expert debt advice. One Advice have a strong team of professional debt advisors, and we will help identify a debt solution which is right for your financial circumstances.

Recent research has reported that single parent families are being forced into loans with doorstep lenders, as they are struggling with debt and are often turned down by high-street banks. The One Parent Families charity reports that three-quarters of single parents are using credit to manage their finances, and 40% admitted that they are “always in debt”, compared with 28% of couples.

If you are a single parent struggling with debt levels, then maybe you do not need to take out more credit but instead make the debt that you have much more manageable to you. This is how One Advice can help, our team of expert debt advisors will go through your financial circumstances and help you to find a debt solution which is right for you.

There are a number of debt solutions which you might want to consider, including:

• Debt Management Plan:An informal agreement between you and your unsecured creditors, where you agree to repay a reduced amount to your debt. As part of the debt management plan, you make one payment to us which we will fairly distribute between your creditors. We will also negotiate on your behalf to try and stop any additional interest and charges being added to your debt, but this cannot be guaranteed.
• IVA: Like a debt management plan, an IVA allows you to make a lower monthly payment to your creditors but comes with added benefits. An IVA is a legally binding contract between the debtor and their creditor and is the only debt solution (besides bankruptcy) which can write off any part of your debt. All interest and charges are automatically frozen and you only repay the debt that you can afford to. You will make an agreed monthly payment over a period of 60 months and any unaffordable debt is legally cleared at the end of your IVA term .

No matter what your personal circumstances or your level of debt, One Advice can find a debt solution which will suit your needs.

For free debt advice, call One Advice on 0800 048 1752 or take the 1 Minute Debt Test.

Many people think that the idea of reality of becoming debt free is a long far-distance dream, but you can actually do something about it today! Making simple changes means you can get on the path to your debt free future, and the sooner you start thinking about your finances, the sooner you can be debt free. Two debt free tips that you can use today are:

• STOP SPENDING: Obviously we don’t mean that you need to stop spending money altogether, that would be impractical and your financial goals have to be realistic. But the idea is that you stop spending on frivolous items that you don’t really need.
  Start small and cut down on one takeaway a week or sacrifice a night out for a cheaper night in. To become debt free you will have to make some sacrifices but think off all that additional income you will have to play with once your debts are paid off.
  Now that you have stopped spending you should be able to get a true picture of your outcome. Start to be organised with your finances and understand the true amount of money you are paying out on a monthly basis. Don’t forget to include essential expenses which you pay for with your income, such as rent, mortgage or utility bills, as well as more day-to-day expenditure such as food shopping, prescriptions and petrol costs.
• GET DEBT ADVICE: Sometimes the road to debt freedom cannot be one travelled alone. This is not a bad thing as there are a number of reputable debt advice companies out there who can help you sort your finances and get debt free.
  You may find the best way to be free of your debts is through an IVA. This is a legally binding debt solution between you and your creditors and means you can typically be free of debt in 60 months.
  One Advice have a team of ethical debt experts who are more than willing to help. So fill out the Quick Enquiry Form on the right hand side of this page for a free callback or call us now on freephone 0800 048 1752.

Knowing if debt management is the right debt solution for you can be tricky. The right debt solution for you can be dependant on a number of different factors, such as your income, outgoings and level of unsecured debt. If you are looking to reduce your monthly outgoings and simplify your finances, a debt management plan could be the debt solution to help you do just that.

A debt management plan allows you to consolidate multiple unsecured debts into justa single monthly payment. This can make managing your debts much easier as you no longer have to worry about making several payments to different creditors throughout the month.

With a debt management plan you will benefit from reducing the amount of debt that you need to repay on a monthly basis. However, you will have to repay these debts over a longer period of time and some creditors will not freeze additional interest and charges on your debt.

Your level of debts is not the important factor when deciding if debt management is the right solution for your debts, it is more about your ability to repay your outstanding debts at a level that is affordable to you. Typically if your debts are over £12,000 you may find that your circumstances make you more suitable for an IVA. Like debts management, an IVA allows you to make one affordable monthly payment but offers you the additional advantage of having an element of debt write-off and becoming debt free in a typical period of 60 months.

For more information about whether debts management is right for you, fill in the Quick Enquiry Form to the right of this page.

There are a number of reasons why you need debt advice, and people come to One Advice for help and advice about their debts due to a number of different reasons. But the great news is that help is at hand, no matter how impossible your debt situation may seem there are debt solutions available.

Here are 3 reasons why you may need debt advice:

1. Unemployment: Since the begging of the credit crunch the number of people unemployed or facing redundancy has increased. Losing this income combined with little savings means that people can soon find that they are struggling with an increasing amount of debt that they simply cannot afford to pay.
2. Debt Management Problems: Many people struggle with juggling multiple debt repayments which are due multiple times of the month and many tend to ignore these problems in the hope that they will go away. In reality we all know that burying our heads in the sand will not work when it comes to dealing with debt management problems.
   The sooner you contact a professional financial management company, such as One Advice, the sooner you can get help with your personal debt management problems and solve them with one of our debt solutions which will be tailor-made for your circumstances.
3. Change of personal circumstances: As well as unemployment, there can be a number of personal reasons why you may need debt advice and why your finances get too much to handle. For example, you may be out of work due to illness and statutory sick pay means you are earning far less than your usual income. Divorce and separation can also be a very stressful time both personally and financially as you may find that you cannot fund your existing lifestyle.

No matter what the reason you need debt advice, there is no need to despair. A good financial management company will be understanding about the situational changes which have caused you to need debt advice and will do their best to ensure that a suitable debt solution, whether is be an IVA, Debt Consolidation Loan, Debt Management Plan or Bankruptcy,  can be found for your debt problems.

When you are struggling with debt, you may be thinking of ways in which you can pay off debt without a loan. Many people do go down the debt consolidation route but then find it a struggle to make this new loan payment when debt starts to build up on their consolidated credit cards once again. So how is it possible to pay off debt without a loan?

The first step is to make sure that you take expert debt advice. Talking to a professional about your debt means that you can benefit from their expert opinion and become more aware of the debt solutions which are on offer. If you are looking to tackle your debts but want to pay off debt without a loan, here are a number of ways which you could do that:

Cut your outgoings. Perhaps you are struggling to repay your debt because you are overspending in other areas. Working out your credit crunch luxuries and cutting back on these non-essentials really does mean that you could save a small fortune over the course of a month.

Think of places where your money regularly goes: takeaways, meals out, gym membership, nights out etc. Once you have identified the key areas where you spend the most money, this could make a big difference to your ability to repay your debts and manage to pay off debt without a loan.

If your outgoings are already cut back to the limit and you still find that your debt repayments are unaffordable, you need to see what debt solutions are on offer and how they can help you:

Debt Management Plan: This is an informal repayment agreement between you and your creditors where you agree to make smaller payments towards your debts over a longer period of time. Although it will take you longer to become debt free, your payments will be affordable to you.

Individual Voluntary Arrangement (IVA): An IVA is best suited to those with high levels of unsecured debt, typically over £12,000, and are struggling to repay their debts.
Like a debt management plan, you can take advantage of reduced monthly payments but with one big difference, an IVA is a legally binding contract and allows a certain amount of debt write off. You commit to making monthly payments towards your debts, based on how much you can afford after your other financial commitments have been accounted for over. On successful completion of the IVA, typically 60 months, any unpaid debt will be written off.

For further advice about how to pay off your debts, speak to one of our debt advice specialists on 0800 048 1752.

Want an easy way to get debt advice and take control of your personal finances? If you own an iPhone or an iPod Touch you should be taking advantage of a number of free financial applications which are all designed to help you get the most of your money.

iXpense - Are you one of those people who is unsure about where their money goes at the end of the month? The free version of the iXpense could help you keep track of your daily expenses, and because you are on the move you have no excuse of not updating an online money management tracker.

It splits your spend into categ0ries where you most spend your money and the application will highlight key areas where you can cut down on frivolous spending. Again, use this extra cash to repay your debts that little bit quicker.

ATM Hunter – How annoying is it to find yourself strapped for cash and the only obvious solution is a standalone cash machine which charges you for the privilege of withdrawing your own money?

Well, this costly problem could soon become a thing of the past with the ATM Hunter application which will find the closest ATMs in your area using GPS. Even if you don’t mind paying £2 a time to withdraw your cash, you might be staggered to know that this could cost you over £104 a year  which you could put towards your debt repayments.

Currency – Not sure how much dollars you can get for your pound whilst away? Don’t pay over the odds due to confusion with fluctuating currency exchange rate. This app has access to over 100 countries, so no matter where abouts in the world you are, you can get the true purchase price instantly.

Know any more apps to handle your finances? Or are there some apps which cost a little to purchase but have changed the way that you handle your debt? Please share with our readers and comment below.

Christmas tends to be a time of year where we forget how to budget and any sense of keeping track of our expenses seems to go out of the window. However, come the New Year you could be stuck with high credit cards bills detailing purchases you can’t even remember what you spent. If this is you, it is time to nip this habit in the bud so you don’t spend January wondering how you will ever become debt free.

But don’t panic if you already feel you have started the festive seasons by overspending, there are still a number of ways to have a credit crunch Christmas where you can cut unnecessary Christmas costs, such as:

1: Channeling your creative side: For those of you who are arty or feel as though you are neglecting your creative side, Christmas can be the perfect time to channel this talent by making your own Christmas gifts, cards, wrapping paper, gift tags etc. It may take a little forward planning but your friends and family will appreciate the effort you have made and it is far more personal than anything you can buy in the shops

2: Plan your Christmas food shop: There is no easier way to have a debt-free, stress-free, credit crunch Christmas than by planning in advance. There are a number of websites where you can check the prices of popular ingredients and use this to plan where you are going to do your shopping.
You may also be able to take advantage of online voucher codes by shopping online but watch out for additional delivery costs and remember to book your delivery slot as soon as you can so your groceries can be delivered as close to Christmas Day as possible, no-one likes a mouldy sprout!

3: Avoid the High-Street rush: Unless you are looking for something in particular, one way to have a credit crunch Christmas is to avoid the High Street altogether. You have better chance of finding the best deals online and there are a number of online comparison tools which can assist you in making sure you are getting the best deals. Don’t forget to see if there are any discount codes you can use or whether you can get cash back on your purchases.

4: Don’t undo your hard work in the sales: If you have got through a credit crunch Christmas pretty much unscathed, don’t undo your hard work and let the sales lead you seeking debt advice. Remember to shop sensibly in the January sales and make sure you only buy items you really want and cannot do without.

5: Don’t be in denial. If you are reading this and have already overspent over Christmas, there is no need to panic. One Advice are here to help you with any financial struggles you may be going through. No matter how bad your debt problem has got there is a debt solution, such as an IVA, debt management plan or even bankruptcy.
Don’t bury your head in the sand, contact one of our specialist debt advisors now for free advice by filling in the enquiry form to the right of this article.

Money worries can come in all shapes and sizes; what you may realise as a money worry others may brush under the carpet or visa versa. Some people don’t even look at the value of their debt when contemplating their money worries, some may decide that not having enough savings mean their personal finance or debt management skills are a bit slack.

If you can afford your debt repayments you may not see debt as a problem, and you are quite happy to make the minimum payment and not worry about the interest and charges being added or how it eats into your disposable income.

Dealing with debt is never easy especially when to the level where it is unaffordable and your incoming never quite match up with your rate of outgoings.

If you believe that you are struggling with money worries you will be glad to know that there are a number of debt solutions available, and One Advice can help. We have a range of debt solutions on offer which means we can find the one which best suits your circumstances.

There is not just one debt solution which covers all, and it is about getting advice with is tailored for you. We understand that everyone has their own unique money worries. For further information, please contact One Advice today or take the 1 Minute Debt Test to discover your debt solution.

If you are looking to become debt free, you may feel daunted about how to go about finding a debt solution. If your debt has grown to a level where it is unmanageable and you feel as though it is a struggle to even meet the minimum monthly payments it is essential that you seek debt advice.

Becoming debt free is rarely simple – and it is much harder to dig yourself out of debt than fall into the cycle of mouting debt. But seeking professional debt advice is the perfect way to start the journey of becoming debt free and repaying your debt. One Advice are a financial solutions company who can help you deal with your debt in the best way possible. Our debt solutions include:

Debt Management Plan

• Informal arrangement between you and your unsecured creditors.
• Repay your debts at a level you can afford.
• One smaller monthly payment to make.
• Interest rates and charges could be frozen.
• Suitable for those with unsecured debt levels under £12,000.

IVA (Individual Voluntary Arrangement)

• Legally-binding agreement betwe.en you and your unsecured creditors.
• Make lower monthly repayments
• Debt free in as little as 60 months.
• Avoid bankruptcy and keep your home.
• Suitable for those with unsecured debt levels over £12,000.

For more information about how to become debt free and for more information about our range of debt solutions, call One Advice today on freephone 0800 048 1752.