Ian is an expert in the Debt Arrangement Scheme and Business Debt Arrangement Scheme, assisting individuals, sole traders and partnerships.
He also advises on personal debt solutions recommending the best option to resolve problem debt issues.
After you have finished clearing your debts, your financial circumstances may change and you never know when you might require credit in the future, so it’s best to start planning for it now.
Dealing with your debts is a chance to start afresh and build on your success.
One of the first things to do is to check that your credit file (if required) has been updated to reflect the fact that you have met all your obligations as a result of the debt solution that you used.
Creditors who were included will have been registered on your credit file.
You should check that any default, such as on a Trust Deed, has been registered no later than the start of the process, registering a default after that date is not permitted.
You should also check that all creditors have marked the debts as having been settled in full.
They should do this as a matter of course, but if they have not done this after a period of 3 months from your final payment, then you should write to them individually to ask them to amend your credit file.
While the last thing that you will be thinking of is taking out more credit, it is still a good idea to start thinking about rebuilding your credit rating.
This is needed for everything from getting the best mobile phone contract, right through to buying a new car or even getting another mortgage.
Other key things include:
In time, you might want to consider applying for a credit card that you pay off in full each month, and without paying any interest at all.
You could use this for small items of expenditure – again with the proviso that you always pay off the amount in full each month.
In sound financial managements terms, it’s also a good idea to build up a contingency fund.
This will allow you to meet any unexpected expenses that you might incur.
Such as repairs to the car, or central heating system for example.
A contingency fund is a great way of demonstrating financial responsibility and acumen to potential creditors and lenders – thereby improving your credit rating.
One thing’s for sure though – the future looks bright again once you have dealt with your debt.