Here are some of our most frequently asked questions.
Q. How can you help with my debt problems.
Each clients personal situation is different, but generally we are able to negotiate reduced repayments with your creditors putting you back in control of your finances. By reducing repayments to a level you can comfortably afford and by usually agreeing interest concessions with creditors the stress of debt will soon be relieved and you can start to live a normal life again without worry! At a later date we may be able negotiate full and final settlements with your creditors, asking them to write off a percentage of the balance thus freeing you from debt.
We will only recommend a solution when we feel it is suitable to your needs.
Q. Does this mean I will be made bankrupt?
The answer is No. Whilst we can, and often do advise on bankruptcy petitions this only occurs where a client has little or no assets and expresses a personal choice to take the bankruptcy route. Most of our clients prefer us to negotiate affordable repayments with their creditors and these agreements are based upon an informal voluntary arrangement. Unlike a full Individual Voluntary Arrangement (IVA) there is no need for a creditors meeting or approval from the court. (see our ‘Debt Solutions page)
Q. Will my creditors take me to court?
Similarly to you, creditors would much prefer to resolve these matters amicably once they are aware that you have sought professional advice. The fact that creditors agree to a reduced repayment plan however does not mean that they cannot issue court proceedings against you. In our experience however it is most unlikely that proceedings will be issued if arrangements that are made are adhered to. Clearly creditors do not want to spend time and money issuing court proceedings only to end up with an order that provides for the same monthly payments had an agreement been made earlier.
Q. Will interest be frozen?
Generally, creditors will agree to suspend all interest that continues to accrue in addition to any late payment charges or over limit fees that are being applied. This is however a matter of discretion for each creditor and there is no legal basis for us to insist that creditors comply with our request. Clearly, there is little point in a client making reduced payments to a creditor if the interest charged exceeds the payment. Where creditors do not stop charging interest, it normally ceases to accrue once the account is passed to a collection agency.
Q. What are your fees?
This is probably the most regular question and the most difficult to answer. As each case is different, the fee which we charge will depend upon many factors such as the overall debt level and the number of creditors involved. We are committed to a transparent and fair fee policy and it is extremely unusual for a client to find our fee cumbersome. We are here to help you and will work with you to ensure that our fees are affordable. Remember,the initial consultation is totally free and without any obligation whatsoever.
Further information on our fee structure is available [cherry_button text="here" url="http://c-f-m.co.uk/feestructure" style="link" radius="60" target="_self"]