Debts over 15K

	enquiry form

	what do we do?

	exactly what happens

	why a loan won't help

	what is bankruptcy?

	what if you have equity in your property?

	what about my banking options?

	the IVA procedure

	IVA facts & how IVA's work

	IVA frequently asked questions

	IVA - estimated timescale

	IVA - documentation required

	beware of informal debt consolidation

	non-dischargeable debts

	how do you qualify?

	debts under £5000?

	five point debt-action plan

	frequently asked questions

	bailiff guide - know your rights

	trust deeds (scotland only)

	protected trust deeds (scotland only)

	recent client profile

	see also iva menu

Debts Over £15,000

Why a loan won't help you

We rarely recommend people to take out further borrowing. Many lenders and finance houses put forward the idea of loans that tend to be expensive and unsecured. This is the wrong way to solve your problems.

If you have high borrowings now, the last thing you need is more credit.
Re-financing or a second mortgage is financial suicide.
Putting all of your debt on the security of your home or under a personal guarantee you risk losing everything.
It is not worth the risk of losing your home for the sake of a debt.

Many people think that IVA's & Debt Consolidation Loans are the same, however they are not.

It is important to clarify the main differences:

In an IVA, you have only one payment to make every month, your combined debt is not a new loan. The supervisor makes individual payments to each creditor at regular intervals. You still, therefore, owe each creditor.
A debt consolidation loan "pays off" old debt and creates a new large debt.
Loan companies advertise the slogan "pay off" your debts with a loan. They make it sound like you are debt-free!
The amount of reduction in interest in an IVA is massively reduced and in many cases stopped altogether.
A consolidation loan is one interest rate for the entire debt balance.
Some people do not have the option of a consolidation loan..or if they do, will pay it off for a very long time because of bad credit. A person with good credit can benefit if he/she changes his/her spending behaviour along with it.
In an IVA you not supposed to seek additional credit.
A consolidation loan would not have such limits.
People should think carefully before putting their homes up against a load of clothes, stereo equipment and furniture they charged on a credit card 3 years ago.

The above distinctions are very important and can at times be confusing.

Remember even if you think you know the difference between the two it is still easy to get confused