Choosing a debt solution can be a big commitment, so why not take advantage of our free breathing space service?
What is the Free Breathing Space Service?
When struggling with your finances, you might be receiving a lot of calls, emails or letters from your creditors that can be stressful. If you’re looking for help with your debts, it can be useful to let your creditors know that you’re aware of the problem and are trying to get something in place to help. They’ll be more likely to offer you some time to get debt advice or get a debt solution in place.
We will contact your creditors on your behalf and ask them to give you 30 days breathing space. This will give you some time to decide which solution is right for you.
How can I apply?
Once you have received advice on our Online Debt Advice tool, you will be able to see if we can offer you breathing space. If it is available, you can enter your details online and we’ll contact your creditors to request that they offer you 30 days’ breathing space. This is completely free.
We’ll need some contact details, creditor information and a signed letter of authority which grants us permission to speak to your lenders.
It doesn’t guarantee you protection against further action, especially if there has already been some recovery action taken, such as bailiffs being appointed, so please bear this in mind.
Why will this benefit me?
If you have a few different solutions to consider, or even just the one but want to take some time to decide which way you’d like to tackle your debts, it can be useful to know that you’re not going to be actively pursued for a debt whilst deciding.
Your decision can be difficult enough, even more so when you’re being contacted by your creditors. Our service will allow you to make your decision with an unclouded mind!
Will my credit file be impacted?
If you’ve already been missing payments to your debts, the chances are that your credit score has been updated to reflect this. If you continue to miss payments within your breathing space period, your credit file will show this too. This can impact your chances of being accepted for credit in the future.
What if the request for breathing space is rejected?
Most of your creditors will be happy to help and offer you support in dealing with your debts.
Most major UK lenders and debt collectors are regulated by the Financial Conduct Authority, this means they’re required to offer breathing space if you tell them that you’ve sought help from a debt advisor. Some companies or providers don’t have to accept breathing space requests, these are usually priority debts such as Child Maintenance arrears, CCJ’s, rent/mortgage arrears and council tax arrears- but they may assess your situation individually and decide if they can help.
If you’re struggling with problem debt and would like some advice on your situation, please visit our Online Debt Advice tool HERE or call us on 01925 599 400 to speak to an experienced debt advisor.
