Debt specialists stress importance of timely debt advice
Released
on: September 4, 2008, 5:54 am
Press
Release Author: Gregory
Pennington Ltd
Industry:
Financial
Press
Release Summary: Whatever financial problems an individual is
facing, it’s crucial they seek debt advice as soon as possible.
In general, the sooner someone acts, the more options they’ll
have.
Press
Release Body: Debt specialists GregoryPennington.com remind
consumers with debt problems of the need to seek debt advice on
time.
“Whatever
their nature, virtually all financial problems have one thing
in common: they get worse if left unaddressed,” says a
Gregory Pennington spokesperson. “Whether someone’s
behind on their mortgage payments or struggling to keep up with
credit card bills, all the experts agree that the sooner they
seek debt advice, the better their chances
of clearing their debts as quickly and painlessly as possible.”
At
the moment, mortgage payments are at the forefront of many homeowners’
worries. “The Council of Mortgage Lenders (CML) has reported
18,900 repossessions in the first half of the year, signifying
a year-on-year increase of 48%. Given their forecast of 45,000
repossessions in 2008, this means they expect over 25,000 more
before the end of the year.”
With
timely debt advice, however, many of those potential repossessions
needn’t happen at all. In a video on the BBC’s website,
Judge Stephen Gold (Kingston-upon-Thames County Court) states:
“The big message which I think needs to be screamed from
the rooftops of the County Courts is this: that if you get into
difficulty with your mortgage, don’t bury your head in the
sand. Engage with the lenders. Pay what you can.”
“For unsecured debts,” the Gregory Pennington
spokesperson continues, “the principle is essentially
the same. When people contact us for debt advice, we stress that
simply talking to a lender – whether they do it themselves
or we do it on their behalf – can often produce results.
A lender might agree to accept lower payments, for example, or
to reduce the interest rate on a loan. It’s in the lender’s
interest to arrive at an arrangement which the borrower can afford,
so the money can be repaid as soon as realistically possible.
“Before
they grant any concessions, of course, most lenders will want
to see that the borrower is doing their utmost to order their
finances and repay the debt. So the debt advice we provide goes
a long way beyond ‘Talk to your lender’: we help people
with all sorts of financial issues, from improving their budgeting
skills to understanding their rights and responsibilities in relation
to different kinds of debt.”
“If
the individual’s situation has reached the point where debt
advice simply isn’t enough, we can help them choose the
debt solution that offers the best way out of debt. Depending
on their circumstances, that could be a debt management plan,
in which we talk to their unsecured lenders on their behalf, negotiating
changes to their repayment terms so they can clear their debt
at a rate they can afford.”
In
cases where debt management isn’t appropriate, an IVA (Individual
Voluntary Arrangement) or Trust Deed could be the answer: helping
people reduce their monthly debt payments, these debt solutions
can free up the money they need for mortgages payments, food bills
and other essential living costs.
“Everyone’s
circumstances are different, and no debt solution is ‘better’
than another – it’s a question of which is the most
appropriate for that particular person under those particular
circumstances. As always, the most important thing is for them
to seek debt advice as soon as possible, before any further financial
problems restrict the range of options open to them.”
Web
Site: http://www.gregorypennington.com
Contact
Details: Melanie Taylor
Head of Corporate Communications
Gregory Pennington Ltd
Pennington House
Carolina Way
Salford
Greater Manchester
M50 2ZY
2009
