Case Study on Debt Problems after a Separation from Partner

Name - Mrs P
Age - 29
Marital Status - Single
Location - Cumbria
Occupation - Receptionist
Total Unsecured Debt - £31,618
Previous Monthly Repayments - £638.10
Background Problems - Using credit to finance purchase of household goods and renovations following house purchase. Split from partner, resulting in a decrease of household income.

Mrs P. used and successfully maintained the monthly repayments on credit cards and loans for many years. Following the purchase of her property, that she shared with a partner until recently, credit was used to finance home improvements and the purchase of household items.

However, after their relationship failed and her partner moved away she was forced to replace many items of furniture, incurring further debt. It also became apparent at this time that the plumbing of the property was dangerous and several thousand pounds was spent implementing the necessary renovations.

With the loss of her partners contribution to the household income and the increase of his expenditure Mrs P. realised she was unable to afford the monthly repayments of her credit.
 
Realising she needed professional advice to stem the downward spiral of ever increasing debt she approached ACCUMA whose experienced staff helped and guided him through the options available. An Individual Voluntary Agreement (I.V.A.) was proposed to her 11 creditors and was successfully approved.

Instead of struggling to repay £638.10 each month, she now pays an affordable £345. All interest and charges have been frozen, creditors no longer chase payments and in just 66 months she will be debt free having repaid only £22,400 of the original £31,618 she owed.