Solutions to Bankruptcy
What is Bankruptcy?
Bankruptcy is the most severe consequence of being in serious debt and should be considered very carefully. If you are unable to make a reasonable contribution towards your debts and your situation is unlikely to improve, it may be the best solution for you. By declaring yourself bankrupt you do get a fresh start, relief from your debt and protection from your creditors, but:
- Your assets (including your home) may have to
be sold off to pay your creditors - Your situation will be advertised in the newspapers
- All your bank accounts will be closed
- Your reputation may be affected
- Your landlord will be informed
- You may risk losing your job
There may be a better way
An IVA could mean that you avoid bankruptcy. It acts as a legally binding agreement between yourself and your creditors and means that you pay back an affordable, fixed amount over a set period (usually 60 months). During the term, homeowners may be required to release the equity in their property. As long as you stick to the terms of the IVA, your home is protected and you avoid any publicity.
Click here to find more about how an IVA can help you.
- Debt Management Programme
- Individual Voluntary Arrangements
- Trust Deeds for Scottish residents
- Managed bank accounts
©2008 Gregory Pennington Ltd. Pennington House, Carolina Way, South Langworthy Road, Salford M50 2ZY. Company Registration No. 2855061
Registered in England and Wales
Subject to eligibility and acceptance, debt write-off applies on completion of an Individual Voluntary Agreement, alternative solutions may be offered. Fees payable. Your ability to obtain credit will be affected. Homeowners may be required to remortgage during the term. Calls may be recorded.
Debt Management | Debt Solutions | Debt Consolidation | IVA | Trust Deed