How to clear debt? Let’s think about that for a minute. Writing off debt isn’t a simple process. In fact, many Brits find themselves wondering how to clear debt UK and spend hours trawling the internet for answers that just never seem to work out or stand to put them in a worse position than before. Of course, knowing how to clear debt without affecting credit score negatively isn’t knowledge the average Briton has. And that’s why so many find themselves overwhelmed at the thought of their overdue bills being pushed through their letterbox each week. 

Whether you’ve got debt of £5000 or much more, you can get the advice required from an advisor to make a sound decision to clear your debts. You just need to know where to turn and understand your options of how to clear debt.

Your best bet, if you want to know how to clear debt and get more information on the various options available to you, is to consult with a professional in the industry. Before you do anything, find out more about how to clear debt UK options available to you by discussing your situation with a professional, qualified, and verified debt solution advisor.

Not sure where to find the right debt solution advisor to assist you with information on how to clear debt? We’ve compiled a list of the leading platforms that offer to connect overindebted individuals with debt solution advisors who can assist. We’ve also included further information on how to clear debt below.

Get Advice on How to Clear Debt from Leading Debt Solution Advisors: Quick Overview ✅

• 123 Debt Fix : If You Want to Know How to Write Off Debt UK Quickly, 123 Debt Fix Will Forward Your Particulars to Leading Qualified and Reputable Debt Solution Advisors to Assist!
• Debt Nurse : If Your Debt Needs Taking Care Of, Debt Nurse Can Connect You with Debt Solution Consultants Who’ll Advise You on How to Write Off Debt Without Affecting Credit Score Negatively
• Viva Debt Help : If You Need to Know How to Write Off Debt That’s Mounting, Viva Debt Help Can Put You in Touch with Top Debt Solution Advisors Operating Across the UK
• Help My Debts Pro : If You Need Advice on How to Write Off Council Tax Debt, Help My Debts Pro Can Capture Your Details and Swiftly Connect You with Debt Solution Advisors Most Qualified to Help

How to Clear Debt in the UK 2023 ✅

When you’re looking into how to clear debt in the UK, you’ll find that there are several common options recommended. We’ve provided a brief overview of each below.

Request Assistance from a Debt Solution Advisor on How to Write Off 70 of Unsecured Debt

How to write off 70 unsecured debt? This is a question many Brits want answered. The fact is that some individuals can write off up to 70% of their debt if they have the right debt solution in place. If you’re not sure which debt solution will provide the best outcome for you, speaking with a debt solution advisor that 123 Debt Fix can help you make the right decision for you. 

Debt solution providers typically advise on the likes of debt relief orders, debt management plans, individual voluntary arrangements, debt consolidation loans, and more. While their advice has no obligation attached, you may pay fees as part of your package if you choose to go ahead with any of the options they offer you. 

Their industry knowledge is broad, and while they present options with fees attached, you’re not obligated to accept or go forward with any of the recommendations if you accept them. Most platforms like 123 Debt Fix don’t provide advice but forward your details to the debt solution providers most qualified to assist you. 

How to Write Off Debt Immediately: Use a Debt Consolidation Loan

Debt consolidation loans are a common go-to for individuals who want to write off their quickly and then continue paying back the loan in smaller monthly instalments over a longer term. Debt consolidation loans are a way of freeing up cash flow while reducing your overall debts. There are fees attached that form part of the deal, but you won’t be charged simply to gather information on the options available to you.

Debt consolidation loans are when you take out a loan that covers the total of your outstanding debts. The objective is to ask your creditors to reduce the outstanding amount if you pay the final amount in full. Some lenders will agree, some won’t – but you could stand to save. Then, seek out a loan with a lower interest rate to ensure that when you’re paying it back, you have more cash flow available each month than when prior.

There are many lenders that can assist with debt consolidation loan, but it’s best to chat with a qualified debt solutions advisor before you choose a debt consolidation loan or a lender. 

How to Write Off Debt Steadily: Close Unnecessary Accounts and Minimise Expenses

If you’re not in a rush to write off your debt immediately but want to get ahead and pay it back as quickly as possible, you can do a revamp of your budget. This requires scrutinising your expenses (and bank statements) to get a clearer idea of what you’re spending your money on each month. You may find that you’re still paying for a streaming service that you never use or that your vehicle insurance is a tad high and could do with a re-negotiation. 

Close accounts, finalise subscriptions, and ask service providers to give you lower rates where possible. If possible, you can use the money saved on these bills to plug into your debts. 

How to Write Off Bad Debt Fast: Get a Debt Relief Order

A debt relief order is a common debt solution recommended to individuals who have personal debts they’re unable to pay. A debt relief order is designed to help you have a fresh start, but there are some restrictions to expect. You cannot set a debt relief order in place yourself. You will have to acquire the services of an approved debt advisor who will ensure you meet the requirements for a DRO. Debt relief orders are in place for 12 months. If the order is approved, you can cease debt payments and if your situation hasn’t improved after 12 months, you won’t need to pay the debts anymore. Debt relief orders are usually noted on your credit file for 6 years.

How to Write Off Bad Debt Without a Legal Contract: Set a Debt Management Plan in Place

If you visit a platform like Viva Debt Help, you can expect to be connected with qualified debt solution providers who can advise you how to write off bad debt with a legal contract in place, or without one. A debt management plan is set in place by a DMP provider. The consultant who works with you will contact your creditors on your behalf and see if they would be willing to reduce your debts if the account is managed. You would then pay a certain lump sum over to the debt management plan provider, who in turn, will ensure that all of your outstanding debts are paid the correct amount each month.

A debt management plan is not legally binding, meaning that you or the creditor can decide to cancel the agreement at any time.

One of the Best Ways to Write Off Debt in the UK – How to Write Off a Bad Debt in Quickbooks

If you’re looking for one of the best ways to clear debt in the UK, you’ll find that there are several options available. Not all options and solutions recommended are suitable for all debt types and situations. Whether you’re in credit card debt, personal loan debt, HMRC debt or council tax debt, you’ll need to consider the best ways on how to write off bad credit in Quickbooks most effectively before making a final decision.

Different Types of Debts

While investigating how to write off bad debt in Quickbooks you’ll find that there are multiple types of debt that are fairly common in the UK. These include:

Household Rent Arrears

When rent date arrives and you don’t have enough cash to cover the cost due to a sudden expense or unexpected bills, where can you turn. Being in arrears on your rent and being unable to catch up could result in serious consequences. Your lease agreement will stipulate the handling of rental arrears but in most instances, not paying your rent over several months could result in you being homeless (or having to look for a cheaper home). There’s generally a two-week notice period for tenants who don’t pay their rent. After that, your landlord is legally allowed to apply to the court to evict you. Seeking out debt solutions to reduce or eliminate your debts is a viable way to ensure that you’re not homeless and saddled with back-rent you can ill-afford.

HMRC Debt 

If you’re in debt with your national insurance, income tax, and other tax debts, you can consider yourself saddled with HMRC debt. This type of debt cannot be ignored. In fact, if you do, you could be faced with serious consequences. The amount due could be automatically deducted from your bank account or you might find your personal possessions being attached to be sold to defray your outstanding debts. 

Naturally, no one wants to find themselves in this position and so it’s important to keep on top of any HMRC debts you have. If you’re struggling under mounting HMRC debt, speaking with a professional debt advisor can help you find the right solution. 

Arrears on Car Finance Instalments

Car finance usually runs over 1 to 5 years, depending on the contract you’ve signed. There is due process to be followed when you fall behind on car finance instalments and the process certainly isn’t pleasant for anyone involved. 

In the UK, it’s the norm for a vehicle to be repossessed even without a court order if, to date, you’ve paid less than one third of the total amount owed. If you happen to have paid more into your vehicle contract, and the provider wants to repossess the vehicle, you will need to attend a court hearing where you might be given a “time order” which will require special application.

If your car is repossessed it will hurt your credit score and you may not be able to get car financing again. If you’ve fallen behind several months and can’t catch up, seeking out debt solutions that can help you better manage will be in your best interests.

Credit Card Debt

Credit card debt has a way of sneaking up on someone. Buying an item of furniture or paying a bill with your credit card may seem like a good idea, until you get the bill with the interest rate reflecting. If you’re only paying back the minimum amount due, you could be tied into credit card debt for many years. 

If you’re struggling to meet your credit card payment responsibilities, you may find yourself faced with penalty fees and a tarnished credit record. This can be challenging to rectify. Keeping on top of your credit card payments is important, but if you’re struggling, a debt solutions advisor can assist you with selecting the right course of action for you and your situation.

Energy Bills Arrears

Energy bills are considered a priority debt in the UK. This means that you should settle your energy utility bill before paying things like your credit card or personal loan. As soon as you know you cannot afford your energy bill, you should contact your energy provider to see if they can work out a plan. Falling behind on several months of energy bills will result in your service being cut off.

Conclusion

If you’re struggling to make ends meet and your debt situation is worsening, you may find yourself frantically searching for information on how to clear debt. Chatting with a debt solutions advisor who is qualified to provide you with information is a step in the right direction. To connect with debt solution advisors, you only need to visit a platform like 123 Debt Fix, Debt Nurse, Viva Debt Help, and Help My Debts Pro to complete one form and have your details sent to a professional debt solution advisor who will contact you directly.

FAQs

How to Write Off Debt?

Most creditors will want you to have a plan in place in order to reduce your debt. You may find that with a debt advisor on your side, you can enjoy reduced debts or even have them written off, depending on what debt solution you opt for. Common ways to clear debt include a debt consolidation loan, IVA, debt relief order, debt management plan.

Can UK Debt Be Written Off?

Yes, in some instances, UK debt can be written off, but this depends on the creditor and if there’s a debt solution set in place. Some debt solutions are legal and binding, which means that creditors must comply.

How to Write Off Debt UK?

The best way to clear debt UK is to speak with a professional and qualified debt solution expert who can provide you with options that are best suited to your unique financial situation. Some of the ways to write of debt UK include setting a debt management plan in place (not legally binding), opting for a debt relief order, or getting an individual voluntary arrangement.

How to Write Off Debt Without Affecting Credit Score?

Unfortunately, credit scores are affected by the actions you take financially. If you declare bankruptcy, get a debt relief order or an IVA, you can expect for your credit score to be impacted. You may find it harder to get credit in the future. If you want to have a minimal impact on your credit score, a debt advisor can provide guidance.

How Can I Get Rid of My Debt UK?

Yes, you can get rid of your debt UK, but you will need to have a proper plan in place. While some debt write-offs are possible, this is rare. It’s more likely that you will receive a reduced balance or that you’ll get a breather for a period, after which some debts can be wiped off if your situation hasn’t improved. Of course, this cannot be guaranteed as it comes down to the creditor and if there is a debt solution in place.  The best course of action is to consult with an unbiased debt solution advisor who can give you information on all the options available to you. 

What Debts Cannot be Written Off?

If you’re declaring bankruptcy in the UK, the following debts usually cannot be written off: secured debts, benefits overpayments (fraud), student loans, court fines, personal injury claims against you, debts arising from fraud, and debts in two names.

How Long Will a Debt Write Off Appear on My Credit Report?

If you have a debt solution in place, you can expect it to appear on your credit file for at least 6 years. The record is still removed from your credit profile after 6 years, even if you haven’t fully cleared the debt.

Disclaimer: All debt solutions should be very carefully considered. The websites advertised in this paid promotion do not provide debt advice. If you complete the form and provide permission to be referred, they will pass your details onto a regulated debt advice solution provider. All the partners they use are regulated by the Financial Conduct Authority to provide debt counselling. The websites advertised work exclusively with trusted debt solution providers. If you proceed with one of their solution options, they may receive a fee for introducing you to them. The websites advertised are lead generation companies that pass your details onto third parties in order to help you with your debt solution.

Disclaimer: The above is a sponsored post, the views expressed are those of the sponsor/author and do not represent the stand and views of Outlook Editorial.