I just have to write. I’m so irritated!

Yet again I’ve been asked about a secret Government fund to pay off people’s debts. It’s not true!

Don’t let anyone tell you that the Government hasa special law that will wipe out your debts for you. It’s simply not the case. Can you imagine the Government being able and willing to wipe out our non-mortgage debts, currently standing at around £400 billion?! This is the Government that got us into the debt problem in the first place remember, and they’re trying to get us to spend even more right now to keep the economy going.

This cruel rumour about Westminster paying off our debts has been perpetrated by dodgy IVA companies, many of which are using the keywords ‘Government Debt Help’ in their websites. Don’t believe it, don’t take any notice of it and certainly don’t sign up to their so-called services.

Yes, it is true that IVAs, or Individual Voluntary Arrangements, can effectively wipe out a load of your debt, possibly (though rarely) up to 75% but they don’t involve Government help or Government funds and they have a lot of downsides. See our article here about IVAs, which gives you the pros and cons. One of the main cons is that most of them don’t work and people end up having to go bankrupt. Another is that a lot of dodgy companies have sprung up recently to do IVAs for people who shouldn’t have them. It’s just a money-maker for them and they prey on the vulnerable.

Anyone with debt problems should check out our free advice in this site, look at cutting down on their spending and increasing their income. Also, if the situation is serious and complex, get in touch with the FREE advice agencies like the CCCS, the CAB and National Debtline. There’s no point paying debt advisers if you can possibly help it – and tell all your friends to do the same!