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Question of the Week: Ads offering to let you sell your debts

MSE_Martin
MSE_Martin Posts: 8,268 Money Saving Expert
Part of the Furniture 1,000 Posts Combo Breaker
edited 14 July 2009 at 10:16PM in Debt-free wannabe
Q. I've seen adverts offering to let you sell your debts. Is it worth it?

A. [FONT=&quot]No! There's a growth in companies offering to let you sell your debts to them where you pay a fee of around 10%. They say they'll sell it to a third party which will then argue it doesn't have to pay them.

Yet you CAN'T sell debts without the lender's permission. So usually go through the transaction and you'll be left with the debts PLUS you'll have shelled out a 10% fee.

If you're struggling, the best thing to do is try to cut interest costs, and repay as quickly as possible or seek non-profit free debt counselling agency, there's a full detailed guide & video at Debt Help.

A common related question is about companies promising to help you write debts off. Read the Credit Wiping mini briefing for more on that. [/FONT]

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Martin Lewis, Money Saving Expert.
Please note, answers don't constitute financial advice, it is based on generalised journalistic research. Always ensure any decision is made with regards to your own individual circumstance.
Don't miss out on urgent MoneySaving, get my weekly e-mail at www.moneysavingexpert.com/tips.
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