FAQ

How long will it take to clear my debt?

There are many factors affecting the length of time that it takes to clear your debts*. These include: the level of debts, whether your creditors have agreed to write any of your debts off, how much you can pay off your debts each month and what type of payment arrangement you enter into.

For example, if you have debts over £15,000 you may find it quicker to pay off your debts via an Individual Voluntary Arrangement (IVA) rather than a Debt Management Plan (DMP). This is because with an IVA creditors often agree to write off up to 70% of the debt. It is in their interests to do this because if you decided to go bankrupt instead they would probably receive an even lower payout.

When deciding on the type of arrangement, you need to consider other factors as well as the length of time it takes to pay off the debt. For example, because we specialise in remortgages for people with debts and a poor credit status, this may be the first time that you have been able to obtain a remortgage. This could open up all sorts of opportunities for you. So, although your debts may take longer to pay off by consolidating them into a remortgage, it could also help you to move to a bigger house or to afford luxury items.

If you have any specific preferences regarding the length of time it will take to clear your debts, or any other factors, you should mention this to us when we contact you. We can then take your requirements into account.

Give us 5 minutes and we'll give you:

  • Advice on all debt solutions that you may apply for
  • If your debt can be written off
  • Explain any interest or charges that can be frozen
  • Honest, no obligation advice

Some solutions, such as a Debt Management Plan or an Individual Voluntary Arrangement involve costs when the plan is set up.  These costs are there to cover the expenses and work undertaken on your behalf.  You will always be told clearly about any costs upfront.  Other solutions, such as a Bankruptcy incur costs which are payable to the Court; Debt Relief Orders incur costs which are payable to the Insolvency service.

**Any Debt write off applies only to unsecured debts, within and only on completion of an IVA.Any secrued debts are not cleared.

Debt Direct is a trading name of Tatstar Limited. Tatstar holds a consumer credit license to offer debt counseling. Your enquiry will be passed to a selected third party who will contact you to discuss the most appropriate solution for your circumstances.