Many fee-charging debt management companies advertise using phrases such ‘government debt help schemes’ or ‘government debt solutions’. You might have seen these adverts in search engines or on Facebook.
Please don’t be misled by these types of claims.
By describing their services as government debt help these companies’ adverts appear be authorised by the government. This isn’t the case and might result in your taking on a debt solution that isn’t the best option for you.
If you see an advert that talks about government help with debt it will usually be promoting a company that mostly manages individual voluntary arrangements (IVAs). As these solutions can only be managed by insolvency practitioners and fees are charged for their expertise, this is a way for companies to make money from helping people with debt problems.
You should always be wary of any debt company offering only one debt solution. It might not be the right one for you and could make your debt situation worse, rather than better.