Welcome to Magic Finance - Debt Solutions Help & Advice

How It Works?

A debt management plan is not a loan. It is an informal agreement between you and your unsecured creditors, the people you borrowed from, enabling you to consolidate your unsecured debt repayments. Unsecured debts include credit cards, store cards, unsecured personal loans and bank overdrafts. These can all be included in your debt management plan.

When we put together your debt management plan, we will look at your finances and calculate how much you can afford to repay each month and this is all you will pay. We will agree with your creditors for you to make just one, low, affordable monthly payment to us, which we will distribute fairly amongst your creditors. In this way, we effectively become a 'buffer' between you and your creditors, who should then contact us regarding your debts rather than contacting you directly, thereby reducing the stress of debt.

Advantages of Debt Management:

• Affordable - you only pay what you can afford.
• One monthly payment - you avoid having to remember to make several payments.
• Flexible - the agreement can be changed if your circumstances change.
• Protect your home - you'll find rent and mortgage easier to pay.
• Freeze interest & charges - although not guaranteed we are often successful in preventing your debts increasing.
• Stop creditors chasing you - you can relax at last.
• Reduce stress - as we will deal with any phone calls or letters from your creditors.
• Avoid legal action.

Your Debt Management Plan will make your unsecured debts more affordable, ensure that you have a reasonable standard of living and protect your mortgage or rent payments.

What To Do Now?

• Call our friendly Debt Adviser team on 0800 542 5658 or 01625 506 592.

How It Works?

An Individual Voluntary Arrangement (also known as an IVA) is a procedure that is part of government legislation and is available to people struggling to repay their loans, overdrafts and credit card bills.

There are certain criteria to entry but if you live in England or Wales, have debts of around £15,000 or more and owe money to more than 3 different companies which you are struggling to repay then you may qualify for an IVA. In very simple terms, an IVA allows you to payback what you can realistically afford over a fixed period of time, usually 5 years, with any sums you can't afford to repay being legally written off. During your IVA you are legally protected from your creditors, who cannot add interest and charges to your account.

Benefits Of An IVA

• You pay a single, affordable, monthly payment which is fair to both you and your creditors.
• Creditors are legally bound by the IVA meaning that they cannot take any recovery action against you.
• Any debt you cannot afford to repay is legally written off, often saving you a considerable amount of money.
• If you are a home owner your property is protected.
• Creditors agree that Magic Debts take their fees out of the money you pay to them. You will never receive a bill.

An IVA is however a serious undertaking. It isn't for everyone and there are some downsides. For example an IVA stays on your credit report for 6 years and if you fail to adhere to the terms of the IVA creditors can take further action against you.

What To Do Now?

• Call our friendly Debt Adviser team on 0800 542 5642.

How It Works?

Bankruptcy allows you typically to pay what you can afford to your creditors for a 12 month period after which you become debt free. However dependant on your income you may have to make affordable monthly payments for up to 3 years.

Bankruptcy is a difficult process to go through alone so we provide a comprehensive service and helpline to support you through the whole process. With our Bankruptcy support service you have access to specialist advisors for help and guidance in your time of need. The basic criteria for Bankruptcy are:

• If you have a very low disposable income
• If you cannot afford to make repayments on your debts.

To request help and advice on Bankruptcy or to see whether one of our alternative debt management solutions is a better option for you please contact one our team on 0800 542 5642.

Benefits Of Bankruptcy

• Become Debt free, typically after 12 months.
• Reduce your monthly payments to an amount you can afford.
• Freeze your debts until they are written off.
• Stop Interest charges and costs on your debts.
• You are protected against your creditors while you are in Bankruptcy so your creditors cant take any court action against you.

What To Do Now?

• Call our friendly Debt Adviser team on 0800 542 5642.