Services

Our Services

What we recommend to you will always be based on your individual circumstances so, following a chat with us we may advise you about:

Insolvency Arrangements
Payment Plans
Bankruptcy
Debt Relief Orders
And other relevant options

Insolvency Arrangements (IVA)

If you have a large amount of debts an insolvency practitioner can assist with a government backed scheme that could potentially write off a percentage of anything you owe. They do this in return for a fee that you could pay as part of a settlement paid in monthly installments. IVAs normally last for about 5 years and is a formal and highly regulated arrangement. It is not as flexible as Debt management but can offer other benefits

Subject to eligibility and acceptance. Debt write off applies only on completion of an IVA, alternative solutions may be offered. Initial advice is free, fees payable for continuing services. Your ability to obtain credit will be affected for 6 years. Homeowners may be required to release the equity in their property

Payment plans (Informal Arrangements)

A great alternative to an IVA is Debt Management. A Debt Management Company can negotiate an easy monthly payment plan with all your creditors. It’s a more flexible and adaptable solution than an IVA but requires more negotiating skill from the Debt management company. They have to balance the debt plan as fairly as possible between making the easiest payment plan for you and getting agreements from creditors to freeze interest and charges. A Debt Management Company can take over the dealings with your Overdrafts, Personal Loans, Credit Cards and Debt Collectors, it’s the sort of thing you could try and do for yourself but done by a professional, the process will be less hassle and the outcome should be a lot better (it’s a bit like plastering a ceiling … I never even think of doing it myself)

Conditions apply. Repaying debt over a longer period may increase total amount repaid. Your ability to obtain credit will be affected in the short term and might be affected in the medium to long term. Fees payable.

Bankruptcy

Great care must be taken when thinking (or even writing) about bankruptcy. It’s a solution that has been forced upon many people, but has helped thousands who were so deep in debt that the benefits outweighed the consequences. We can talk to you about the positives and negatives of Bankruptcy to help you understand when it should be avoided.

Debt Relief Orders

This is a new type of scheme introduced to help people with virtually no money that they could contribute to a Debt Management Plan. It’s like a Mini Bankruptcy but is only available to certain people. The criteria are based on the amount of Debt you owe, how much in savings or assets you have, your “Disposable Income” and a few other rules. As with Bankruptcy, people on a Debt Relief Order will not be able to be a Director of a Limited Company and will not be able to apply for credit for more than £500.

The Best Solution for You

At Rainbow Debt we look at all the options available to you and tell you in plain English what we think would be the best solution for you: It may just be to stop spending so much money on shoes! We will discuss what you think of the different options you have and take instructions from you on how we can help. The best solution for you is the one where you feel most in control and gets you out of Debt with the minimum of stress.