For those of you out there who have never heard of personal insolvency arrangement, it is a solution for people who are under severe and unmanageable debts, these debts include inability to pay mortgage as well. In case people have secure and unsecure debt that they are having a difficult time paying back, to the point that everything has been overdue for a very long time. This can be a very stressful situation because there are constant calls, emails and letters in the mail asking you for the money which you do not have, to pay them back with. If that is a case then you should consider signing up for an arrangement that is known as Personally Insolvency Arrangement which can be really beneficial for you if you think about it.
You might not know about this but a lot of people do that in order to get a fresh start. You will probably be telling people the story of I hid bills under my bed but apart from that it is not as scary as you think it might be. With that aside, let us take a look at a few of the advantages of declaring yourself as a personally insolvent, check them out below.
Your Debts Are Written Off
Once you sign a petition for personal insolvency, and after paying for the initial fee and the court hearings, once you get the written document that declares you personally insolvent, a lot of your debts that are unsecured get written off and the secured ones are restructured in a way that you can pay them, so it buys you more time as well.
You Do Not Lose Your House
Again, if you do not pay your mortgage on time it can lead to you losing your house but if you declare yourself as bankrupt then you do not lose the house.