The debt level is astoundingly on an increase in the UK, and more and more people are getting bankrupt with every passing day. In fact, the biggest factor behind this considerable increase in bankruptcy cases is lack of awareness, as many customers do not know that they have several options to avoid bankruptcy and that’s why it is important to get some suggestion from a financial consultant.
Usually, these are your unpaid bills that propel you towards bankruptcy in an unnoticeable way. There are many who like to take some steps to organise their finances, but soon their planning gets down to drains when some huge bill appears in front, and they don’t have enough to pay for it because they have to pass the month ahead with little money.
Things become even worse when there are notices for payment demands and you have no other option except to ignore them, as you don’t have even a penny to pay for it. More often, your debtors are polite at first, but when they find you inattentive, court letters and bailiffs are sent to you. In short, things become quite difficult to manage, and it becomes almost impossible to get back on the track.
Often it appears that bankruptcy would wipe out your all sorts of debts, but it is not so in actual. You must bear in mind that the government officers and the official receivers have their eyes on your different assets that also include your car and house. They can force you to sell the things for which you strived hard to achieve in the past. So, don’t think that bankruptcy is a solution, contrarily it can make things worse and you definitely need to consider some other options to avoid some additional financial problems.
If you also find yourself at the verge of this last stage, and think that you have no other option except the filing of bankruptcy, you definitely need to think again as you have a chance to redeem your finances. An independent financial advisor may help you out from this situation by arranging IVA or Independent Voluntary Arrangement for you.
IVA can work for you even in the worst financial conditions, but you need to use it in a right way. In this kind of agreement, a meeting between the debtor and his creditors is arranged in which an agreeable term of payment is tried to sort out for them.
There are several cases, which show that IVA proves quite effective for those who had bad-to-worse sort of finances and were unable to find out any solution for such sort of situation. However, the thing that is essential to make the most of this sort of arrangement is to plan things properly.