Alternatives to bankruptcy:
Individual Voluntary Arrangement or IVA
This is a formal and legally binding arrangement between a Debtor and their Creditors. To propose such an arrangement you will need the services of a licensed Insolvency Practitioner or IP. Proposals to creditors can be based on a lump sum offer or regular monthly payments. If 75% (in value of debt) of those creditors who vote agree, then the arrangement is legally binding on all concerned. Regular payment IVAs normally last for between three and five years.
Check now to see if you qualify for an IVA
Debt Management Plans
There are several agencies that will act on your behalf to negotiate reduced payments with your creditors.
Check now to see if you qualify for a Debt Management Plan
A trust deed is a legally binding arrangement to deal with your debts in Scotland where you make reduced payments over 4 years. At the end of this time, your unsecured debts are usually written off.
Check now to see if you qualify for a Trust Deed
Debt Relief Order or DRO
A debt relief order (DRO) is a way for you to have your debts written off if you owe less than £20,000 and have very few assets.
Check now to see if you qualify for a Debt Relief Order or DRO
You may be able to come to an “informal” arrangement with your creditors to repay what you owe. It can be difficult to get everyone to agree to such an arrangement.
If you owe less than £5,000 in total to two or more different creditors and have at least one County Court judgment against you then this Court monitored arrangement could be a good option. You will need to obtain Form N92 from your local County Court Office.
Not Sure What Debt Help You Qualify For?
Our panel of specialists can quickly advise you on what to do if you are considering going bankrupt. Simply call the team FREE on 0800 368 8231.
Alternatively take the online bankruptcy test and check if you qualify.