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UK Money Advice Toll Free No: 02036871054

Best Debt Help Advice FAQs 1. What is Debt? Debt is when one party borrowed an amount of money to another party. Debt is used by various corporation and individuals as a method of making large purchase that they could not manage to pay for under normal conditions.

2. What does consolidate debt mean? Debt consolidation means taking out a new loan to pay off amount of liability and customer debts, usually unsecured ones. Effectively, various debts are combined into a single, larger piece of debt, usually with more favorable payoff terms: a lower interest rate, lower monthly payment or both.

3. Is it a good idea to consolidate your debt? If you're badly drowning in debt, know that you can't negotiate any lower interest rates with your Credit Card Company or creditors, or if the math works out, a debt consolidation loan considered to be a good decision for you.

4. What are the advantages and disadvantages of debt consolidation? Debt consolidation company argue that borrowing money at a low interest rate to pay off loans or credit cards at a higher interest rate can save you money, or help you pay off the debt sooner. Other rewards include having fewer payments to make each month, and less possibility that you'll be late on payments.

5. Do consolidation loans hurt your credit? The way debt consolidation affects your credit depends on the variety of options you select. If you consolidate by taking a personal loan to pay off your credit cards, your consumption ratio could go downward; cause your score to go up.

6. Can I get a debt consolidation loan with bad credit? Debt Consolidation Loans for Bad Credit. If you include low average to bad credit (below 660 credit score) you will be qualify for a debt consolidation loan however the interest Visit us: - Call us: - 02036871054


UK Money Advice Toll Free No: 02036871054 rate will be high. A lot of people choose to consolidate debt for the reason that of the high interest rates making it hard to pay down the principal balance.

7. What is the best way to consolidate your debt? Here are a few instructions to achieve this: 1. Always keep your balances low in order to avoid additional interest and pay bills in time. 2. If you have credit cards then it’s OK but manages them maturely. 3. Always avoid moving around debt with a credit consolidation loan. 4. Don't open a number of new credit cards to increase your existing credit.

8. How do debt consolidation loans work? Basically, you take a small loan, use those funds to pay off all your creditors, and then start doing make monthly payments on the loan. Loan may be obtained through debt Help Company or either by your bank, or as a home equity loan if you own a home.

9. Do debt relief programs affect your credit score? If you are incapable of getting out of your debts by adhere to a forceful payment schedule, getting a debt consolidation loan or using a credit counseling service, you will have two principal debt-relief options: o Debt settlement o Bankruptcy Definitely these two methods of debt relief will affect your credit score.

10. How long does it take to improve credit score after debt settlement? It takes more than 6 months for most people for their credit card debt settlement. Most of the people who choose to settle debts as an option to chapter 7 bankruptcy are not able to build up the money they need in order to settle all of their credit cards earlier than the accounts charge off.

11. Can you go to jail for not paying a loan company? Though in some states of UK—approximately a third—still use jail as a method to force debtors to pay certain debts. In the present day, you will not go to prison for impossible to pay for a Visit us: - Call us: - 02036871054


UK Money Advice Toll Free No: 02036871054 “civil debt” like a credit card, loan, or hospital bill will be forced to go to jail if you unable to not pay your taxes .

12. What does an IVA stand for? IVA stands for Individual Voluntary Arrangement it is an agreement with your creditors to pay all or part of your debts if you will agree to make regular payments to an insolvency practitioner, who will divide this money among your creditors.

13. What is an IVA? Individual Voluntary Arrangement is a formal method of dealing with unmanageable unsecured debt in UK. It is a debt solutions meant for helping people out of severe financial problems. An IVA is a formal and legally-binding agreement with creditors to pay off debt over a period of time. It allows debtors a breathing space in which to recover manage over their finances, and get effective insolvency solution for eligible individuals.

14. How long does an IVA stay on your credit report? Individual Voluntary Arrangement will show on your credit file for six years from the day it started. So if IVA was five years long it will only be planned on your credit file for a further 12 months. The purpose behind asking creditors to correct the dates on defaults is to assume that these too will be gone within 12 months

15. What is a debt management plan? Debt Management Plan (DMP) is an agreement in between you and your creditor’s in order to pay all of your debts. Debt management plans are generally used when you can only have enough money to pay creditors a small amount each month or you have debt problems but will be able to make repayments in a few months.

16. Is debt settlement a good idea? Your lenders will tack on interest and fees for the missed payments, and the resulting late pays and escalating balances could sink your credit score. Even worse, your creditors may not accept the settlement offer.

17. Can I buy a house after debt settlement? Visit us: - Call us: - 02036871054


UK Money Advice Toll Free No: 02036871054 If your next goal is to build your credit after debt settlement and buying a house. If you want to buy a house and qualify a mortgage loan then your lender will look closely at these three factors:  credit history  credit score  debt-to-income ratio

18. Can I get a mortgage with high credit card debt? It all depends on how much of your monthly income goes towards paying the least amounts due on recurring debts like credit card bills, student loans, and car loans, etc. Your debt-toincome ratio matters a lot to lenders.

19. How can you apply for Debt Settlement:If you're struggling with your finances and looking for a way to pay off debt. Do contact us at our toll-free no. 02036871054, our financial advisor will provide best option according to your need.

Visit us: - Call us: - 02036871054


Best Debt Help Advice  

If you're struggling with your finances and looking for a way to pay off debt. Do contact us at our toll-free no. +44 203 687 1054, our fina...

Best Debt Help Advice  

If you're struggling with your finances and looking for a way to pay off debt. Do contact us at our toll-free no. +44 203 687 1054, our fina...