Beware of debt companies advertising their services as ‘government debt advice’ – these claims are often misleading.
If you’re worried about your debts, make sure you get expert debt advice from a trusted organisation.
Government debt advice
Many fee-charging debt management companies use phrases like ‘government debt advice’ or ‘government debt help’ to advertise their products. Please don’t be misled by these types of claims.
By describing their services as ‘government debt advice’ these companies appear more reputable and may persuade you to take on a debt solution that isn’t the best option for you. You should always be wary of any debt company offering only one debt solution. It might not be the right one for you, and could make your debt situation worse, rather than better.
What are government debt solutions?
Many companies advertise using the phrase ‘government debt solutions’ which can make you believe that the company is linked to the government. This could make the solutions they offer sound more appealing, however they’re usually referring to a range of formal insolvency solutions such as:
- Personal bankruptcy
- Individual voluntary arrangement (IVA)
- Debt relief order (DRO)
- Minimal assets process (MAP) bankruptcy
- Trust deed
While each of these debt solutions were introduced by the government as a way to help people deal with their debts, the companies advertising them are usually fee-charging providers trying to seem more official.
While most types of insolvency have fees that must be paid, many companies charge additional fees for their advice. We believe you should never have to pay for debt advice, and we can help recommend debt solutions, including insolvency, based on what’s right for you.