Document Actions
Is the best I can hope from a debt management plan the freezing of interest or can I get a reduction in the overrall amount owed as well?
I have 2 months of mortgage arrears with Abbey National plus credit card debts with Citibank, MBNA, Virgin and Alliance and Leicester totalling £6000 plus and am now unemployed. Is the best I can hope for the freezing of interest? Is their reducing the debts out of the question?
Before you compose a debt management plan, check to see if you can reclaim some of the outstanding amounts on your loans or credit cards due to mis-sold insurance or faulty agreements by nusing our free loan validity checker. You have nothing to lose as there is no fee to us if there is no gain to you.
When you make out your debt management plan (if you don't have suitable forms you can download them from us free) the best you can hope for is the freezing of interest.
Don't be put off if your initial plan is rejected. Persevere. Get help from us. We offer an independent service to help you cope.
An IVA or bankruptcy will reduce the overall amount of debt but there a large drawbacks in both cases and neither sound suitable for you from what you have told us.
Neither IVAs or bankruptcy are DIY solutions and you will incur administrative costs although your total indebtedness will be reduced. Again we can offer independent advice.
Important! Ask your own free questions... Questions are answered accurately at the time they are posted but the law can change or your circumstances may differ in an important but not obvious way from those mentioned. For fast, free and up-to-date personal legal advice direct to your inbox about your own individual case ask Law Answers your own free legal question.
