Aperture Debt Solutions in UK

Aperture is a company that is located in the United Kingdom that helps people with debt solutions free of cost. It has the experience of more than 20 years in the industry that believes in positive approaches, vision, values, and teamwork. We are here to deliver you all the necessary details of the Aperture Debt Solutions in UK and its way of helping people who are having debts and searching for ways to pay it off. 

Debt Solutions from Aperture 

Debt is a financial situation that affects people in their everyday lives. But, the advisors from Aperture are always there to help you with any kind of solution to make you debt-free. They have a team of experts who will take care of your debts and offer solutions from a non-judgemental approach. The solutions given by them are discussed below with a detail explanation. 

Individual Voluntary Management (IVA)

IVA is one of the legal methods of solving any kind of debt problems. It generally allows you to pay a certain percentage of money from the debt amount to your creditors in affordable monthly installments. The time is usually set for near about 5 years till you pay the debt. 

Once the IVA is complete, the remaining amount of debt will be waived off and you will gradually receive a completion certificate. During this time, any credit balance that you haven’t paid will be canceled and you will be debt-free. 

Criteria for getting an IVA

You can apply for IVA if you are having a debt of more than £5,000. Besides, there should be more than one creditor and you must have a monthly income of a minimum of £85. You must attain the age of 18 or more to avail of the plan. 

Advantages of IVA

If you are eligible for the IVA, you must know the following advantages of this scheme. 

  • It will help you to stop further interest and charges, supervised by many insolvency practitioners who have a proper license and so on.  
  • The unsecured creditors will not bother you again, as the number of monthly repayments is constant, safe, and secure.
  • Once your IVA is approved, all the creditors that are present in your IVA list are bound by it. So it will give you the legal protection from further interference from the creditors.

Along with the advantages, IVA also has some disadvantages. So, keep reading to know more about it. 

Disadvantages of IVA 

All the disadvantages of IVA are here as follows. Follow each point thoroughly that is given below. 

  • The IVA plan needs 75% or more votes from the creditors for approval.
  • Your credit rating can get easily affected if you take an IVA. Also, it can stay up to 6 years in your file after the successful approval.
  • You may have to release equity from the assets that you are already having. 
  • The IVA that you are affording will be on the list of Individual Insolvency Register.
  • In case your IVA fails to continue or you don’t get its approval, the creditors will request the supervisor for your bankruptcy.

Bankruptcy

Bankruptcy is the pavement of insolvency in case you are having debts that are not at all secured. It generally happens when you are unable to pay off your debts at the proper time. 

Once you are bankrupted, you have to provide all the information to the creditor as well as the trustee. It might happen that you need to visit their office whenever they want to meet you. 

You can easily apply for bankruptcy if you live in England, Northern Ireland and Wales and have debt more than £5000. The application fee in England and Wales is £130 and the deposit for bankruptcy is £550. 

In Northern Ireland, the court fee is £137 and the bankruptcy deposit is £525. There is also an additional amount of £7 that you need to pay to the solicitor before whom you are presenting your documents. 

Advantages of Bankruptcy

If you are eager to know the advantages of bankruptcy, follow the points that are given below. 

  • It includes all the debts that are unsecured in nature.
  • Until you have paid the debts fully, you might have to pay the statutory interest upon that. This is how your interest is frozen.
  • At the end of the financial year, if you have any debts left that are unpaid, you will not receive any type of actions from the creditors. Neither they will try to contact you regarding the payments.
  • Bankruptcy is one of the quickest and cheapest ways to solve all of your debts. In addition to that, it will also allow you to make a proper start after one year. 
  • You can also pay the fees online if you live in England and Wales. 

Disadvantages of Bankruptcy

As you have gone through the advantages of bankruptcy, some disadvantages of it are given below. 

  • If you have a job, then your employment status will get affected. On the other hand, you might have to sell your property to pay off the debts. 
  • All your assets will be evaluated during this process. Besides, you need to pay the fees for the bankruptcy, which is near about £680. In Northern Ireland, the amount is £647. Also, you have to pay an additional charge for the evaluation of your assets. 
  • Your name will appear on the insolvency register while you are getting registered for the bankruptcy. The order will then regulate your file of credit for at least 6 years from the date of bankruptcy. 
  • It will also affect your credit rating and you might have to face a few restrictions on your bank accounts and credit cards.

Debt Management Plan (DMP)

A DMP is an informal agreement between you and the creditors whom you are about to pay all your debts. If you can afford a DMP, you have to make payments that are licensed by the debt management organization. 

After that, the debt management company will pay the creditors on your behalf. There are some debt management organizations in the UK that do this for free of cost. 

Advantages of DMP

If you have short term problems, then getting a DMP will be an ideal solution for you. Before that, you must have prior knowledge about the advantages of DMP. They are here as follows.

  • You have to pay one monthly payment that you can afford very easily.
  • It will help you to avoid formal insolvency procedures like IVA or bankruptcy.
  • On reaching an agreement with the creditors, the DMP might cancel any type of action against you. For example, County Court Judgements (CCJs) and so on.
  • In some cases, the creditors might hold up the charges or interests on your total amount of debts.
  • The creditors also can reduce the payments that you pay every month.

Disadvantages of DMP

After learning all the advantages of DMP, you must have a look at its disadvantages too. They are given below. 

  • Your creditors will not accept the DMP that you are going to afford. The entire procedure is informal, which means that the creditors can change their decision anytime.
  • The creditors or bailiffs have the complete right to take actions against you if you don’t pay the debts in time.
  • It will affect your credit rating and can lower down your monthly payments to make the plan affordable. 
  • Your assets can fall under risk, as they will not be saved from the creditors. If your debts are not at all serious, then it will take a very long time to repay them.

Debt Consolidation Loan

The debt consolidation loan is related to the transfer of a high rate of interest in a loan along with a lower rate of interest. Here, the interest rate of your consolidation loan must be at a lower rate than that of your present credit agreements. 

This will generally help you to save a limited amount of money on the monthly payments you are paying to the creditors. 

Criteria for Affording a Consolidation Loan 

All your debts are transformed into a single loan and a common goal is set for paying it on a monthly basis. Additionally, you can also save some money on the repayment of the loan. 

Advantages of Debt Consolidation Loan

The advantages of the debt consolidation loan are given below. 

  • It has the ability to slash down the overall cost of the entire money that you have borrowed. 
  • The debt consolidation plan also can decrease the amount of your monthly repayment.
  • For your comfort, it will gather all the debts that are remaining into one single monthly payment. 

Disadvantages of Debt Consolidation Loan

Along with the advantages, there are also disadvantages that are present. Follow the points that are given below to know about it. 

  • When all the amount is gathered into one, it can reflect a high interest and you have to pay it.
  • It will take a longer time period, which will be more expensive when you will pay it off.