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Self Employed and COVID-19

By | Financial Help, News

Self Employed and COVID-19

The Chancellor announced a new Self-employment Income Support Scheme to support self-employed people who have been adversely affected by COVID-19. This will pay you an average of your last three years’ PROFIT – up to £2,500 a month.

If you are eligible for this you don’t need to do anything, HMRC will contact you by June. Unfortunately, we are aware of an increase in scam emails, calls and texts. If someone gets in touch claiming to be from HMRC, saying that financial help can be claimed or that a tax refund is owed, and asks you to click on a link or to give information such as your name, credit card or bank details, please do not respond.

Those Who Can Apply

You can apply if you’re a self-employed individual or a member of a partnership and you:

  • have submitted your Income Tax Self Assessment tax return for the tax year 2018-19
  • traded in the tax year 2019-20
  • are trading when you apply, or would be except for COVID-19
  • intend to continue to trade in the tax year 2020-21
  • have lost trading/partnership trading profits due to COVID-19

Your self-employed trading profits must also be less than £50,000 and more than half of your income come from self-employment. This is determined by at least one of the following conditions being true:

  • having trading profits/partnership trading profits in 2018-19 of less than £50,000 and these profits constitute more than half of your total taxable income
  • having average trading profits in 2016-17, 2017-18, and 2018-19 of less than £50,000 and these profits constitute more than half of your average taxable income in the same period

If you started trading between 2016-19, HMRC will only use those years for which you filed a Self-Assessment tax return.

Banks and COVID-19

Banks and COVID-19

By | Financial Help, News

Banks and COVID-19

Are you struggling with making payments to your bank at this difficult time? Whether it’s overdrafts or loans, it can be difficult to repay them at the minute. There are people losing their jobs, working on reduced hours, statutory sick pay, plus it can actually be more expensive staying at home!

If you are struggling to meet your repayments, your first step should be to contact your bank. I know this can be a scary prospect, but they’re only human (in the main) and will try to help if they can.

Many banks have put in place measures, to help customers during the COVID-19 outbreak – follow the links for more information about your bank:

If your bank isn’t listed, they still may be able to help. If they can’t help, please don’t hesitate in contacting our friendly advisers. We’re still working to help people manage with their debts

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UK Government to Pay 80% of Wages

By | News

UK Government to Pay 80% of Wages

It has been announced that the UK government has pledged to pay 80% of the wages of millions of workers (up to £2,500) to keep them in employment as the Covid-19 crisis worsens.

The deal is that as long as companies keep their employees, then the government will pay 80% of their wages during this crisis (up to £2,500 per month), this is to help ensure that there isn’t a total economic crash as companies are forced to close. It also allows people to continue (almost) as normal, including paying their bills and not falling into further debt.

It has been announced that there will be no limit on this, and will continue for as long as needed, and payments will be backdated to the start of March. As further help to businesses, the government is also deferring the next quarter’s VAT payments to help companies stay afloat, as well as to inject around a further £30bn into the UK economy.

Economists are forecasting a doubling of the current unemployment rate, but the UK government is doing its best to prevent this.

If you ARE struggling to meet your repayments, we are still open and still helping people. Please talk to us today, and help us relieve at least one worry in this difficult time.

Stay safe – The team at Debt Assist UK.

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Debt and Coronavirus

By | Financial Help, News

Debt and Coronavirus

You may think that this is another cynical cash-in on the latest human tragedy, Covid-19, better known as coronavirus. However, there is a very real link between the virus and people struggling with debt.

As the virus spreads and more people take up voluntary seclusion, many people will be forced to struggle with the basic statutory sick pay (SSP) of just £94 per week. This will barely pay the rent for the majority of people, never mind essential such as food and household bills. In turn this means that thousands, even hundreds of thousands, of people will struggle to meet their financial repayments on credit cards or loans. Those that previously managed to repay their bills will begin to struggle, and those that previously struggled will be in serious trouble.

School Closures

Even if you are showing no symptoms and no need to self isolate, should the UK follow the lead of many other countries worldwide and cancel school, this will force people to stay at home and look after their children. Again, this will force many into accepting no pay or the SSP, in order to stay home and look after their children.

How We Can Help

Our trained advisers will go through your debts and any income you may have, and help find you the perfect solution to your debt problems – even if this is a (hopefully) temporary situation.

There is absolutely no cost in talking to us and getting our advice, and you are under no obligation to accept any of the advice given (Although we think you will). So if you are worried at all, please talk to us today. You can call us on 0800 029 3992 or complete the form below and we’ll get back to you as soon as we can.

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Residents Of These Cities Have The Most Personal Debt

By | News

Residents Of These Cities Have The Most Personal Debt

New research has revealed the cities in the UK in which their residents have the greatest amount of personal debt.

The report found that almost half of UK adults have some kind of financial debt. The main sources of these were credit cards (78%) and overdraft payments (44%). However, among people aged 25-35 the biggest source were payday loans and ‘buy now, pay later’ schemes – it was also shockingly revealed that this age group would only consider themselves in debt once they owed more than £5,000!

Where Are People In The Most Debt?

Residents of Edinburgh are the most indebted (according to the report), with 55% of all residents saying that they were in some kind of debt – but as we’ve seen, a large percentage of people wouldn’t consider themselves to be in debt until it was too late.

Edinburgh | Derby | Cardiff | London | Norwich | Belfast | Leeds | Manchester | Bristol | Southampton | Aberdeen | Sheffield | Portsmouth | Sunderland | Nottingham | Oxford | Birmingham

If nothing else, this just shows that no matter where are in the UK, if you are worrying about your debts, then there will be many other people in the same boat as you.

Are You Struggling With Debt?

As you can see, you’re not alone. If you would some no-obligation debt help and advice talk to our award-winning advisers today! Simply complete the form below and we’ll give you a call back as soon as we can.

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Get Paid To Change Bank Account

By | News

Three Banks That Will Pay You To Switch

As with everything, it’s always worth looking around for the best option, and it’s no different when it comes to bank accounts. There are currently three banks that will pay you £175 for switching to their accounts.

HSBC

HSBC’s Advance account will pay you £175 to switch. However, the minimum pay-in to get the bonus is £1,750 per month, along with a requirement of at least two direct debits or standing orders.

You can get the lower amount of £75 for opening an ordinary HSBC bank account, and it doesn’t have a minimum pay-in.

NatWest

The NatWest Reward account pays out £175 to customers who open an account and request to switch over their old bank account by 2 April 2020. To get the reward, however, you’ll have to pay in £1,500 or more and log into the NatWest mobile banking app by 10 May 2020.

This account also gives you cashback of £3 for every month that you use the mobile app and pay out two direct debits of at least £2. The account has a monthly fee of £2, however.

For a fee-free account, you can get your £175 with NatWest’s NatWest Select or RBS Select account. These accounts don’t come with cashback, however.

First Direct

Switching to a First Direct bank account will earn you a bonus of £100, with much lower pay-in requirements than HSBC and NatWest. To qualify for the bonus, you’ll have to pay in £1,000 within three months of opening the account.

How To Switch Your Bank Account

To easily switch your bank, you can use the Current Account Switch Service (CASS), which will close your account and move all your money, direct debits and standing orders across to a new account.

This service will also move any payments supposed to go into your old account into your new one – so you don’t need to worry about your salary ending up in the wrong place.

Click here for more information.

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CCJs Double in Eight Years

By | News

CCJs Double in Eight Years

Official figures released by the Registry Trust has shown that a record number of county court judgements (CCJs) were issued last year – double that of eight years ago.

These figures show the severe strain that more and more households find themselves in. This is partly blamed on ‘real’ average earnings which, when adjusted for inflation, are still below the levels that led to the financial crash several years ago.

What is a CCJ?

A CCJ, or county court judgement, is an order of repayment set by a court in England, Wales, and Northern Ireland. They are most commonly issued against people who have failed to repay money they owe on utilities, mobile phones, and car payments.

A CCJ will generally be removed if you pay your debt in full within one month of the judgement date. Otherwise, it will stay on your record for six years. Once you have a CCJ on your record, it may lead to problems being accepted for credit in the future.

Struggling With Debt?

If you find yourself struggling to meet your repayments, please don’t hesitate to contact one of our friendly advisers today for no-obligation debt help and advice.

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Gambling on Credit Cards Set To Be Banned

By | News

Gambling on Credit Cards Set To Be Banned

In a welcome move by the Gambling Commission, people are to be banned from gambling using credit cards as of 14th April 2019.

Neil McArthur, Gambling Commission chief executive, said: “Credit card gambling can lead to significant financial harm. The ban that we have announced today should minimise the risks of harm to consumers from gambling with money they do not have.

“We also know that there are examples of consumers who have accumulated tens of thousands of pounds of debt through gambling because of credit card availability.

“There is also evidence that the fees charged by credit cards can exacerbate the situation because the consumer can try to chase losses to a greater extent.”

Credit Card Gambling Ban

The ban will cover all on and offline gambling products excluding lotteries that are run for good causes. Lotteries, including the National Lottery, can still be purchased with a credit as long as they are purchased with other products.

All online gambling operators will now have to also participate in the GamWatch scheme and offer it to all customers from March 31.

If you are having trouble with gambling and debt, read our helpful guide here.

Love Island Stars Promote Bad Credit

By | News

Love Island Stars Promote Bad Credit

Several people from TV show Love Island have been criticised for promoting buy now, pay later firm Klarna, a company which itself is under scrutiny for pushing customers into unnecessary debt.

Although the ‘celebrities’, including Belle Hassan, Lucie Donlan, and Amy Hart, marked the promotion with #ad, they have included discount codes to push the service to their millions of followers.

Martyn James from Resolver (online complaints tool) said: “It’s totally irresponsible for influencers to take cash to plug high-interest credit products on their profiles.

“There’s a huge difference between plugging an expensive pair of shoes and borrowing beyond your means to pay for them.

“With little to no warnings about the risks, shoppers could find themselves sleepwalking in to debt.”

Struggling to Repay?

If you are struggling to repay Klarna, or other buy now, pay later companies (including ASOS, Misguided, and Topshop), contact our trained advisers today for no-obligation help and advice on your options.

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Fourteen Million Brits Started 2020 in Debt

By | News

Fourteen Million Brits Started 2020 in Debt

Almost five million Britons started the new year with debts of more than £10,000 according to a report from comparison site Money.co.uk.

According to the report a further nine million people owe between £2,000 and £10,000, meaning that almost two-thirds of the UK’s adult population went into the new year in some considerable debt. These figures – which don’t include mortgages – take into account credit card debts, personal loans, car loans and overdrafts. Residents of London where the most indebted, where borrowers owe an average of almost £20,000 each. Better news for the Scots though, where 45% of people are debt free!

Everyday Debts

The causes of debts cover everything you would expect; 21% took out loans to repay older debts; 20% for holidays; 18% to pay for Christmas; and 18% admitted that they took out loans to pay for luxury items.
The most worrying aspect of the report is the finding that 40% of borrows say that they entered into debt to pay their normal, everyday living expenses, which doesn’t give them a lot of options to get themselves out of the debt.

Debt Help

If you are among the millions of people struggling with their finances in the UK, please don’t hesitate in contacting our friendly advisers for some free, no obligation help and advice.

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