The duration of a debt will depend on several factors. One of these is the nature and cost of the debt. Aside from this, the law that governs the place or country you live in will also affect the entire duration.
In the United Kingdom, if you don’t have any correspondence from a creditor in the past 6 years, then the debt will not be passed through the courts unless it is council tax arrears or a court fine. This process simply means that after this time, the company can no longer bring the person to court for the same debt. In other words, the company will eventually give up, which means that the debt will be written off. However, you should never ignore debts in the hope that they will just all go away. If the amount is payable, then it is expected for the debtor to pay back. If a credit card company is still forcing you to pay, then it is necessary to contact the local Advice Bureau or the Debt Advice Organization.
How long will this process take place?
To get a credit company to write off a card debt is something that is near impossible. Nevertheless, in the United States, there is also a limit in the number of times a company can sue a person for debt in courts. In the US, a period of 6 years is provided before creditor will no longer be able to go through the courts. Nevertheless, a debt collector can still place pressure in making the person pay the debt. A bank can provide a bankruptcy order and push the debtor to sell assets in order to pay off the debt. Another common solution is through a debt management plan. This will force the person to pay the debt in a given period or set of time. In the UK, an individual voluntary arrangement is the one that is used to provide this kind of solution.
Change Your Life to Stay Debt Free
Finding other solutions aside from getting debt written off or declaring bankruptcy is something that is not easy to do. Anyone can get into debts for a number of reasons. In fact, borrowing money is very common in order to pay bills and other necessary expenses. Because of this, it is very important for a person to learn how to budget money and document all expenses in order to become debt free. An individual should know and understand the kind of things that are causing them to waste money. As well as learning to spend what you have wisely, it can be very beneficial to find way to earn extra income from an additional job or shift at work. These simple steps can help a person avoid debts and minimize the chance of facing court suits. More than that, its really about a change of lifestyle. This is the bottom line – if you want to stay debt free, you need to change the way you live.
This guest post was written by F.Murphy at www.freeukdebtadvice.com