4 Options to getting out of debt instead of going bankrupt

If you are under heavy debt and are seriously considering declaring bankruptcy to just end it all and call it quits, then you are surely going to regret it. Before you jump the gun, let me just tell you that there are many alternatives to declaring bankruptcy. In fact, if you just exert enough effort and time, then you will surely find the perfect alternative to handling your debt instead of going bankrupt. Furthermore, declaring bankruptcy is not just a poor solution to your debt, its consequences can affect your life in the future as well. You see, bankruptcy will forever show on your records and no matter where you go, people will always know that you once quit and walked out of a big challenge. And this will surely affect your livelihood should you pursue employment or start a new business. Fortunately though, as said above, there are many alternatives in getting out of huge debt instead of going bankrupt, below are 4 of them.


  1. Negotiate with your Creditors – Debt Restructure

First of all, when declaring bankruptcy, the bank or the government takes over all of your assets and administers the sale of them and the subsequent payment to your various unsecured and secured creditors. While this rids you the hassle and the heartache of dividing what is left of you to your creditors, it is actually a disadvantageous situation for your creditors. In most bankruptcy cases, the creditors get less of what they expect from you even if they know that you are suffering financially.

From this fact alone, we can learn that creditors will be always open to discussion and negotiation about your debt especially if you are on the brink of declaring bankruptcy. Therefore, approach your creditors and sit down with them to discuss if you can restructure the terms of your debt. You can ask for a grace period or lowered interest rates or principal amount. Whatever it is, creditors will always agree to the situation where they can get more. And a bankrupt debtor will always have less for the creditors.


  1. IVA Help and Advice

You can also opt for IVA or Individual Voluntary Arrangement instead of bankruptcy. An Individual Voluntary Arrangement is an agreement or contract between you and your creditors, which is administered and supervised by a licensed Insolvency Practitioner which gives you the chance to pay your creditors at an agreed monthly payment which is reasonable to you. The contract usually lasts for five years, and upon its end, the remaining balance and interests are formally waived off. IVA contracts are legally binding, thus, upon entering the agreement, the creditors won’t be able to act against you. If you are interested, then quickly search for the nearest IVA Help & Advice company. The faster you act, the better agreement you can get.


  1. Debt Consolidation

Another alternative that is better than declaring bankruptcy is by actually incurring another debt. Though it may sound scary, consolidating all of your debts into one loan might just be the best solution for you. Not only will you be able to pass all of your debts to a single entity, you will also have lesser worries as you will only deal with a single creditor instead of the many creditors you have.

If you want to consolidate all of your debts into one loan, then government affiliated banks are the best for you as they can sometimes have programs that can help improve your financial situation.


  1. Sell your Unsecured Assets

If you still have many unsecured assets, then it might also be a better choice to sell them yourselves and divide them among the unsecured creditors. By doing the sale yourself, you are giving yourself the chance of possibly earning more from the sale of the assets. Who knows? You might just solve your debt crisis from amazing sales and prevent declaring bankruptcy.

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5 Reasons it is helpful to consult an attorney about employee laws in the UK

No matter how much we try to fix minor misunderstandings and prevent them from developing into more serious workplace issues, they are sometimes unavoidable and surely difficult to deal with by ourselves. In the United Kingdom, there are several existing employment laws that are intended to protect the rights and to uphold the responsibilities of both the employers and the employees. Sometimes workplace issues can be settled by the two parties involved while others would require assistance from attorneys specializing in employee laws.


Employment lawyers are equipped with the proper knowledge to advise appropriate actions and to help you settle work issues fast and effectively. Here are 5 reasons it is helpful to consult an attorney about employment laws in the UK. Whether you are an employee or a business owner, employment lawyers can always help you with any workplace issue. Visit https://www.elliswhittam.com and explore the best options for your employment needs.


  1. They can help you structure your business.


If you are a business owner, hiring an employment lawyer can help you properly design the structure of your business. Depending on the type of business that you will be running, you have the option to choose non-profit, sole proprietorship, partnership, limited liability company (LLC), or corporation. Getting an attorney who is knowledgeable of laws related to business can guide you through personal liabilities, tax obligations, set-up fees, expenses, acquisition of funding, and other related matters. Lawyers can also help you create and file documents required in your business.


  1. They can help settle issues out of court.


When dealing with employment issues, you can consult an attorney about the possible options that are available to you. Most of the time, discussing the issue with a lawyer can help you decide whether you should still pursue the case or not. They can explain to you about your position and claims and help you come up with strategies that would save you from long and expensive court proceedings.


  1. They can help you save your job.


There are cases wherein business owners will sometimes terminate their employees without proper consultation of existing employment laws. Hiring an employment lawyer can help them fully understand labor laws thereby guiding them in their future decisions. Your employer might want to review the law first before conducting actions hastily.


  1. They can handle workplace issues with ease.


From abuse to discrimination issues, employment lawyers are capable of handling workplace issues with ease. Not every workplace issue can be solved by the human resource department since they are not as well versed with the labor code as the lawyers are and there might be some bias involved. With their extensive knowledge of labor and employment laws, attorneys can swiftly act on an issue while protecting the rights of both the complainant and the defendant.


  1. They can advise you on employment contracts.


To prevent complications in the future, you can also request the help of lawyers in drafting a contract as an employer or in reviewing a job offer as an applicant. With the help of employment lawyers, you can lay out the possible options such as putting a dispute clause in order to solve issues without the need for lawsuit filing. You may also consult whether your decisions legally adhere to the contract and labor laws or not.


PPI: The Scandal, Deadline and How to Make a PPI Claim

Payment protection insurance (PPI) is sold alongside credit cards, mortgages and loans. The insurance covers somebody if they are suddenly unable to pay for one of these products — for example, if they lose their job or become ill. In the right circumstances, PPI is an excellent product.

However, two decades ago, many banks realised that selling PPI was a great way to make a profit. The banks encouraged and, in some cases, pressured staff to sell PPI with products. In the worst cases, some customers didn’t even know they were sold PPI.

The PPI misselling scandal is one of the biggest of its kind the UK has ever seen. The insurance was sold to thousands of people in the UK and, since the scandal came to light, people have been claiming back their money. The banks have paid out billions of pounds for compensation, legal fees and fines, putting a tremendous strain on them over the past 10 years.

This, along with the issue of the Financial Ombudsman (FOS) suffering from a backlog of PPI complaints, has led to the Financial Conduct Authority (FCA) announcing a PPI claims deadline. All claims against mis-sold PPI must be made by 29th August 2019.

Why is There a PPI Deadline?

The ongoing and increasing strain on the Financial Ombudsman is a key part of the introduction of a PPI claims deadline. The FOS is receiving over 1,000 complaints a day and already has a huge backlog of PPI cases to handle. If you have to refer your case to the Ombudsman, it could take up to two years for the FOS to reach your case and attempt to resolve it.

The PPI deadline will gradually ease the pressure on the FOS, which has employed staff specifically to work on PPI claims. It will also ease pressure on the banks, which have put aside millions of pounds each year for the sole purpose of handling PPI claims and giving customers the money they are owed.

But, is the PPI deadline a good thing? Consumer’s association Which? argues that creating a deadline means the process for making a claim needs to be simpler and easier, suggesting being able to make a claim online should be introduced to streamline the process.

How to Make a PPI Claim Against Your Bank

Making a PPI claim against your bank is actually very simple once you are working in cooperation with the bank at fault. The issue is that not all of the banks are forthcoming with contacting customers. Some websites are far from customer-friendly and it may take a while to find the information that you need to make a claim.

For this reason, many customers choose to work with a reputable PPI claims company. PPI claims take a number of months and allowing a claims management company to make a claim on your behalf can save you time. The process will still take a number of months, but a claims management company will handle all communication, saving you the stress of negotiating alone with a bank. Always read the terms and conditions before working with a claims management company and look for a company that offers a low service fee and no win, no fee PPI claims.

Will the Deadline Affect my Claim?

The deadline is likely to cause an influx of people making PPI claims. When the deadline was discussed last year there was a rise in complaints. As long as you start the process now, though, you are unlikely to be affected by the deadline. The process usually takes up to four months, but it could take longer if more people are making claims.

Although August 2019 seems like a long way away, you should not put off making a PPI claim — or at least checking if you’re eligible to make a PPI claim — any longer. Put it at the top of your to-do list so you don’t get caught out miss out on receiving the money you deserve.