Personal Debt Advice

[Theland1]

My son owes £500 on his overdraft to his bank and approximately £900 between two payday loan companies. His net wages are only approximately £450 per month. I cannot help him, having had to retire due to ill health.
I am in need of more information regarding the government legislation to write off or reduce debts that are frequently solicited in home phone calls.
I know of one or two people who have been hugely disappointed with debt management companies, so can somebody please shed some light on what if any help is available?

[naomi24]

Theland! I'm sorry, I can't help you with your question - I don't know much about that - but I just wanted to say I'm really sorry you are in ill health. It's very good indeed to see you. Do please come back to R&S.

Naomi x

[Theland1]

Thank you.

[factor-fiction]

^"...the government legislation to write off or reduce debts that are frequently solicited in home phone calls."

The phrase "government legislation to write off or reduce debts" is one that firms use in adverts trying to get you to part with yet more money when there's really only a slim chance you can save anything.

He could consider an IVA or going bankrupt but these options seem drastic for such a relatively small debt. Type "IVA" into Google. I suggest he uses a free debt advisory service and stays clear of debt management companies who will want their share of money.

[boxtops]

I'd agree with factor - debt management companies are rarely such good deals as they say they will be. Going to the CAB might be a good place to start.

[Theland1]

Signing off now, but many thanks for your advice. There really is no such thing as a free lunch.

[Purple_Popple]

This is a good website. Hope its of some help. Media URL: http://moneyadviceservice.org.uk/
Description:

[Purple_Popple]

http://www.payplan.com/

are also good as I have used them in the past and they were very helpful, its free and they were very thorough in my options.

[Purple_Popple]

http://moneyadviceservice.org.uk/

[Buenchico]

This registered charity specialises in debt problems:
http://www.cccs.co.uk/

IVAs aren't appropriate for your son, as they cost a great deal to set up. However a Debt Relief Order might be appropriate:
http://www.bis.gov.uk...nsolvency/dro-debtors

Tell your son not to worry. I owe many times what he does and (apart from some occasional income from casual work) I live on Jobseeker's Allowance but I'm still keeping my creditors at bay!

Chris