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What If I Can’t Pay My Debts

Financial issues often sneak on individuals, and very few are prepared to cope with the challenges that leave them with little or no money to repay their debts. Most individuals do not know where to get the best debt advice for their debt issues in London. One of the most common reasons people fail to repay their debts is because they do not have the money. 

Either they do not possess any source of income, or they are able to just fulfill their necessities with their income. However, you do not need to fret if you’re unable to pay your debts.There are various options available to help you if you do not have the money to repay your debts. 

  • Contact your creditors 

If you do not have adequate income to pay your debts and need more time, you must speak to your creditors. Discuss your situation with your lenders, and they’ll let you know ways to help you. Solutions may include reducing your overall debt or interest and allowing you to delay or skip some payments. When speaking to your creditors, explain to them the following:

  • Your financial situation 
  • The monthly payments you can afford to make 
  • When you can make regular payments 
  • Details of your asset, expenses, and income

 

  • Know your legal options 

Your debt collectors may force you to enter into debt settlement agreements, or you may borrow more money with a higher interest rate to settle your debts earlier. However, it’s good to know your legal options before taking such an extreme step. 

  • File for bankruptcy 

If you’re unable to reach an agreement with your creditors, you can file for bankruptcy

  • Chapter 7 bankruptcy: With chapter 7 bankruptcy, you can eliminate your overall debts. However, not every type of debt is dischargeable, and not every individual is eligible to file for chapter 7 bankruptcy. 
  • Chapter 13 bankruptcy: With chapter 13 bankruptcy, you can chalk out a plan with the bankruptcy court to repay your debts. You may pay some debts in full, while payments for some debts may be reduced or delayed. 

 

  • Seek help from family or friends 

If you want to deal with your debt without stress, getting help from family or friends is the best option. Sometimes, your family may reduce your burden by paying your solicitor’s fee or by paying your debt. This will help you make payments towards your debt every time you fall behind on your monthly payments. 

  • Consult a debt professional

If you want to know the best course of action, you must speak to a debt counselor. Your solicitor will provide you with the best debt advice to get out of debt. Moreover, he will also guide you on the best debt solution based on your individual circumstances. 

Debt problems may exaggerate with time if you fail to make monthly payments. Even your financial issue may land you in deep trouble. However, you do not need to waste time. You may try to ignore your debts and may face a time when your creditors stop making calls for debt payment. But, this does not indicate that you’re getting rid of your debt issues. Therefore, you must get debt advice from a Debt Specialist In London to know the best solution. 

Debts Advice can connect you with the best debt solicitors who will help you achieve freedom from debts. You can reach out to them for all your financial problems.

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