New debt repayment scheme

sourcrates

Government has confirmed new “breathing space” period and new statutory debt repayment plans :

http://!!!!!!/Upbc30oXYx8

enthusiasticsaver

Interesting that should suddenly appear after panoramas programme Monday on easy credit..

EssexHebridean

Bump before this slides off the page.

And I must download and watch Panorama, too...

Willing2Learn

I think the principal idea is good. But it worries me that organisations such as Stepchange could see their overall funding cut as an indirect result.

ferry

Would like to see more done with help in difficulties with secured loans and the potential heavy handed practices that come with financial difficulty in this area
There should be same if not more help and options available as there arw with unsecured debt
Your very alone when your in difficulty and have secured debt

Just my thoughts

sourcrates

ferry wrote: »

Would like to see more done with help in difficulties with secured loans and the potential heavy handed practices that come with financial difficulty in this area
There should be same if not more help and options available as there arw with unsecured debt
Your very alone when your in difficulty and have secured debt

Just my thoughts

Unfortunately that’s the nature of secured borrowing, when the creditors have collateral, they hold all the aces, but I agree, there should be more breathing space allowed for secured borrowers too.

Willing2Learn

For anyone interested, I've just been reading the updated official government consultation on the Breathing Space and the Statutory Debt Repayment Plan. The link for the full government paperwork is below:

https://www.gov.uk/government/consultations/breathing-space-scheme-consultation-on-a-policy-proposal/breathing-space-scheme-consultation-on-a-policy-proposal#eligibility-for-the-statutory-debt-repayment-plan

sourcrates

Willing2Learn wrote: »

For anyone interested, I've just been reading the updated official government consultation on the Breathing Space and the Statutory Debt Repayment Plan. The link for the full government paperwork is below:

https://www.gov.uk/government/consultations/breathing-space-scheme-consultation-on-a-policy-proposal/breathing-space-scheme-consultation-on-a-policy-proposal#eligibility-for-the-statutory-debt-repayment-plan

Seven to ten years for repayment seems an awful long time, but if you have assets to protect, then i suppose you have little choice, those with no assets should be looking at other solutions it seems.


I would has at a guess and say they may follow the scottish fee structure, or something similar, my only concern is that the fee charging DMC`s can also operate this scheme, i can just see the advertising now, first hit off Google i`ll warrent !!


All in all its a good step forward, not perfect, people will still be lured into the fee charging companies, but it should, hopefully make a big difference to peoples lives knowing they have legal protection, no further interest or charges can be added once the plan is started, and your credit file will not suffer as badly either, so lots to be positive about.

Willing2Learn

I found it particularly positive the proposal that mental health patients can access the breathing space via an assessment and referral to the "debt advice agency" from a mental health professional. It is also proposed that the breathing space protections accessed via a mental health professional would continue throughout the full length of an individual’s care under an NHS crisis team. That could make a lot of difference to a lot of people.