How Debt Advice in United Kingdom Works : Free Debt Advice

When you are having debts, you can consult with a few organizations that will help you with paying it off easily. These organizations will give you free debt advice and other services. They are scattered all over the United Kingdom. As a result, you can get help from anywhere and anytime you want. 

Before that, you should have the necessary information regarding the debt advice UK services that are present in the particular location. Let’s dive in for more details. 

What is Free Debt Advice?

Near about 16% or more than that of the United Kingdom’s population has problems with debts. If you are amongst them and facing money problems, you need a certain plan that will be helpful to sort out your debts. 

The free debt advice from a particular organization consists of a few actions that you will be informed about. After that, you can do according to their advice to manage and repay the debts. Those advices with detail explanations are given below. 

Execute a Debt Test

The first and foremost thing you need to do is to list up all of your debts and go through it carefully. After that, take the necessary steps to manage it. 

In case, you are bothered about your financial condition and unsure whether you are in a debt or not, you can take the StepChange 60-second debt test as soon as possible. 

The test consists of a few simple questions that you need to answer. After answering them and seeing the results, you will eventually come to know about your debts.

Note Down your Expenses

You must maintain honesty towards yourself while listing the expenses. So, keep track of each and every penny that you spend in a specific period of time. The time can be of a day, week, month or a year. The decision or calculation is your concern before receiving any help from Debt Help and Advice Ltd or other advising agency. 

In case you need any type of practical advice, the experts are always there to help you. 

Establish a Budget to Make Expenses Accordingly

When you are having a hard time meeting up your everyday living, you must make certain calculations and create a budget for the expenses. This will help you to create a balance and maintain a correct ratio between your income and expenditure. 

We hope that you will not waste any money on unnecessary expenses. Finally, at the end of the day, you will be able to save money for clearing off your debts. 

Pull Some Control Over your Savings 

Taking the right decision and executing it while spending money is really a herculean task. As you are the owner of your own money, you must spend it wisely. Also, you must learn to justify and find out the difference between necessity and luxury spendings. 

Paying the rent or mortgage is a necessity whereas, drinking coffee in the mid-way of your work is luxury. Similarly, you have to pay the electric bills but instead, you are saving the money to pay for a Friday night party. 

All these things need to be under control to make the most of your free debt advice.   

Give your Debts Some Priority 

Develop a list of all the debts that you need to deal with. Set it as a primary objective by giving it the maximum priority. The debts that have the highest priority are like rent or mortgage, bills, council tax, and many more. So, if you are unable to pay the bills, then there is a high risk of losing your home and other personal assets. 

After that, you might have to visit the court after all your household services might get cut off. So, if you want help regarding the information about the prioritization of debts, there are free advices to help you out. 

Don’t Increase Debts

Avoiding further debts will be a great idea to start with. This will resist you to increase the debts that you have to pay someday. 

Besides, if you have borrowed any money from short term money lenders like payday organizations, there is something to remember. You need to be aware that they will never reduce your debts but, will trigger as much as they can to increase it. 

In case of emergency purposes, if you are willing to take a short term loan, you must calculate it with the help of a payday loan calculator. So, if you consult a professional, he/she will help you out regarding this matter in a smooth way.  Then you will be able to calculate the accurate amount of money that you need to pay to the creditors. 

Settle Down with your Creditors

When you are in pressure to pay your bills, you must try to negotiate with your creditors for some relaxation in the payments. You can ask for this favor for a temporary basis but, they might give some relaxation apart from paying the bills or some other expenses. 

You can ask for the payment holiday from the creditors. Payment holiday is a relaxation process that you can get while you are not working and facing a gap between your working days due to some obvious reasons. 

Naturally, you will not get the payment due to the gap and it will be a hectic situation for you to repay the debt. So, having a peaceful conversation with the creditors might be helpful in such situations.

Get Assistance from a Foodbank

When you are spending too much money on your daily food habits, you can seek help from a food bank. The people in the food bank are always there to give you assistance regarding necessary information about getting food vouchers and other facilities. 

If they help you to receive a food voucher, you will get three days of the emergency food supply. In the bank, they will greet you with a warm beverage and a hot, delicious meal. While you enjoy it, they will give you important advice regarding this matter. 

In addition to that, they will also advise you to get additional help if they fail to suggest solutions in certain matters. 

Details of National Debt Advice 

National Debt Advice comprises the National Debt Helpline services for England, Wales, and Scotland. Their main job is to run a helpline where you can contact for any sort of information regarding the debt. They also have a website where all the detail information is given regarding clearing debts and other official proceedings. 

If you contact them, you will get all the fact sheets, tools required for budgeting, and various types of sample letters. Those sample letters will be helpful for you to learn how to write to your creditors.  

What to Share with your Debt Advisor?

When you are having any sort of personal issues along with financial problems, then you can always feel free to contact your debt advisor. They will listen to your problem and provide you the best solutions. In addition to that, the experts will always look after your data by encrypting it with top-notch security. 

Confidentiality

Your information is very much valuable to the organization that you approach for clearing debts. They will protect your confidentiality at any cost. 

Moreover, these officers don’t use any type of gadget that has the caller display feature in it. That is why your debt advisors cannot see your personal contact number whenever you call them. 

Their telephone lines have a permanent filter for the outgoing lines. So, accidentally, if they call you in return, it will display the last number you dialed as 1471. Hence, there is no way to let anyone know that the advisors had called you. 

How National Debt Advice Clear your Debts?

There are various ways to clear all your debts no matter whatever the situation is. There are a number of ways that are followed including the following.

  • Debt Management Plan (DMP)
  • Individual Voluntary Arrangement
  • Debt Relief Order
  • Administration Order
  • Debt Consolation and Credit

What is Citizens Advice Debt?

So, the citizens advice debt deals with the issues related to debt management. But if don’t understand how these things work, you will gradually end up losing all your assets and finances. In addition to that, you can also find yourself engaged in huge debt. 

So, the solutions from the citizens advice debt deals with all your problems like bankruptcy, debt management plans, admin orders, debt consolidation, and many more.  It is one of the most popular organizations in the United Kingdom as well. 

If you are worried about the amount of money that you have borrowed, just contact the advisors of the Citizens Advice Debt and they will take care of the rest. 

Services Provided by Citizens Advice Debt

Citizens Advice is an independent charity that helps common people who are facing a money problem. They will provide you the guidance on not only the money problems but, also for your personal issues. 

For example, their help includes providing the benefits of entitlement, solving problems in housing activities, health issues, and so on. 

You can also talk with them with an open heart about the issues ongoing in your family. This includes mutual divorce, civil separations, and others. Their service is private and also confidential. 

Hence, it will be the best place if you want to sort out the problem without letting anybody know what you are doing. 

Is there are Any Citizens Advice Office Near you?

This question can easily come to your mind that whether there any Citizen Advice Center is present near you. The answer is partial “Yes” because there are more than 300 offices established in the entire United Kingdom. 

In those offices, you will find near about 23K staff working and trying to help customers during their needs. 

How can the Citizens Advice Help you?

When the topic of Money Management comes into the discussion, the representatives of the Citizens Advice will help you by giving tons of advices regarding that. In case, you have somehow got into debt, the organization will assist you by giving advices to write it off. 

With their help, you will be able to get out of the debt situation quickly. In case, you can’t get rid of it completely, then they will give you the advice to stop the debt from getting bigger. 

More or less, everyone has money problems in their lives. When you are in debt, the creditor will definitely demand you to pay back or settle all your debts as soon as possible. So, there can be pressure from banks, loans, credit card firms, and others. 

Fortunately, the Citizens Advice professionals are always with you to sort it out. They can also talk to you about long-term debt solutions, which are quite similar to the Individual Voluntary Arrangement (IVA) Scheme of the UK government. 

Helping you to Wipe off Some Debts

The IVA takes the responsibility of the maximum dealings between you and the creditors. In doing so, you might get a chance to eliminate some of your debts for the time being. 

After that, your creditors will not bother you anymore directly. As a result, you have to pay some amount every month to your specialist provider, which will be more affordable. 

What is Debt Help and Advice Ltd?

The Debt Help and Advice Limited is a private company that provides you debt solutions in the United Kingdom. They provide you the service free of cost to ensure that no person has lost any money from their closure. 

Debt Help and Advice Limited generally uses a certain set of business names. So you must know all the names before taking help from the organization. 

Common Queries of a Debt Advice Customer

If you are in a debt, then you must take advice at once to clear it up all. Also, we recommend you to go to the organization and consult with them to discuss your debts in detail. You can also contact them over the phone and make an appointment. 

Below are some frequent queries from the customers:

Is a Debt Management Plan (DMP) Best for you?

If you feel that DMP is the best option, then the advisors will suggest you the suitable one free of cost. They are recommended by many for giving the correct and reliable advice to clear your debt situation. 

If they find any solution to deal with situations like bankruptcy, IVA or DRO, a bunch of skilled and professional advisors are there to help you out. They will help and guide you to get into a debt-free life.

Is a Free DMP Better than Paid DMP?

Of course, a free DMP is much better than the paid DMP. In the former, you are getting advice by not spending a single penny. As a result, you can pay your full debts to your creditors. So, you can get out of your debts very quickly by consulting a free debt advisor. 

What is a Debt Advice Charity?

Debt Advice Charity is a collection of debt charities in the UK that helps enormous people with all types of debt relief services. The charity assists people without charging any money. They take help from a certain category of people who have many experiences in helping people in their tough financial condition. 

Any advisor of a Debt Advice Charity will collaboratively work with you to set up a budget. He or she will also keep track of your personal conditions, which will allow you and your advisor to build up a debt management plan. 

Here, you have to pay some amount to the charity and they will help you by giving advice until you pay all your debts. 

The charity will also help to decide whether you are on the right path and which solution will be better for you to clear debts.