Debt Management



	Aldcroft:Burrows Mortgage Services Limited



		If you are experiencing pressure from creditors and finding it hard to cope, then borrowing more money may not be the answer. Some debt management solutions may reduce the monthly payments by up to 70%, clearing existing credit cards and loans and replacing them all with one single lower monthly payment. Individual voluntary arrangement - IVA An IVA is a government run scheme to help people with serious debt problems. You could be debt free in 60 months, with up to 70% of debts written off, paying just one affordable monthly payment. An IVA is a legal process of which people can gain protection from their creditors by entering into a legally binding repayment agreement with them, which is supervised by a licensed in solvency practitioner. You are normally required to make regular monthly payments over a 5 year period, after which any balances remaining on your debts are usually written off. Once the IVA is agreed all interest and charges on your unsecured debts are frozen. IVAs are not advertised in the press, unlike bankruptcy, however they will be recorded on the IVA register held by the DTI. Sale and rent back Options are available , whereby investors maybe willing to purchase properties and rent them back to the vendor. This service may enable you to release cash from the property, whilst continuing to live in the home.