By Claire Mateer, Restructuring & Insolvency Manager
Debt is an unavoidable fact of life. Whether it is in a personal capacity or through management of a business, almost all of us will encounter debt at one stage of our lives or another.
The average person will find the navigation of problem debt difficult without receiving debt advice. As the theme of Debt Awareness Week 2024 is the barriers to getting debt advice, we have been looking at what prevents people from accessing advice in the first place.
Among the most common reasons is that many people don’t know where to turn to for advice. While business people will most likely speak to their accountant at first, the average person is more likely to bury their head in the sand.
The first step towards addressing debt issues is demystifying the process of debt advice and as such, the sooner you reach out for help the better. Early action with regard to debt will allow you and your advisor to draw up a plan to tackle your debt. Early acceptance that a formal insolvency process may be the best solution to problem debt can save people unnecessary stress and ultimately, in many cases, to avoid bankruptcy.
We also often hear of those who are feeling anxiety or shame about their situation, who feel hesitant to reach out for help as a result. Debt can and does happen to anyone. Restructuring and insolvency teams will have seen all scenarios and will offer judgement free advice on the best course of action.
The final barrier to overcome is that of inaction once debt advice has been accessed. All too often, we see people and businesses who have been presented with professional advice but, for one reason or another, have not acted on that advice in a timely manner.
When the hard part is done and the advice has been accessed, it is important to act quickly. It is only through accepting the need to be proactive that we can overcome the barriers and begin tackling the issue at hand.
To discuss any aspect, please get in touch with Claire Mateer Email: clairemateer@bakertillymm.co.uk Tel: 028 9032 3466.