Are you looking for a debt solution because of coronavirus? Here’s how to get breathing space from your debts

We know the coronavirus outbreak in the UK has led to a lot of financial difficulty. As a result, many people are unable to keep up with their repayments on credit cards and other debts. That’s why we’ve launched a free ‘breathing space’ service for people not already on a debt solution.

How does it work?

Right now, many people are finding themselves unable to afford repayments on their debts, and in a financial situation that is subject to change.

If both of those things apply to you, a period of breathing space from your debts might help.

If you decide you want to go ahead with a breathing space application, then with your permission we will:

• contact all your lenders. (We’ll run a quick credit check to make sure we have a complete, up-to-date list.) We will ask them to give you a payment break for up to 3 months, to give you time to get your financial situation to stabilise.
• ask your creditors to freeze interest and any further charges. It’s important that what you owe doesn’t go up while you’re unable to make payments. And we’ll ask them not to take any enforcement action against you for the period of the breathing space too.

There is no charge for using our breathing space service.

Do my lenders have to give me breathing space from my debts?

Breathing space is an informal arrangement. So we can’t guarantee that your lenders will agree to our requests, but most major lenders we’ve contacted have said that they will.

What happens at the end of the three months?

One of our advisers will contact you again towards the end of the three-month breathing space period.

Hopefully, by then you’ll have your finances under control – you’ll be in a position to start making repayments again.

However, some people may still be in financial difficulty at that point. If that’s the case, we’ll help you find a long-term solution to help you get your finances back on track. Although we won’t charge for any debt advice we provide, there may be charges associated with the debt solution you select and entering into a debt solution may affect your credit rating.

If your finances change sooner then please let us know and we can help you with your next steps.

How do I apply for breathing space from my debts?

To speak to one of our team, give us a call on 0161 413 9569. They’ll ask you some questions about your financial situation to understand if breathing space might help you.

You can also find information on our debt solutions page about other ways to help get your finances back on track.

More information about coronavirus and your finances

We are posting regular updates on our website so please keep checking for more information.

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