Self Employed in Debt
There have been a few news articles that mention financial support for the self employed from the government due to the current coronavirus situation. This is in the form of loans and grants to those who have business premises and a very good credit rating.
If you look at this recent article on the BBC you will see that banks are offering loans to those with good credit ratings and those who can either guarantee the loan through property and assets and even then the rates on these loans are up to 30%.
The loans are only being offered to those with very good credit ratings and a lot of self employed are just getting by month to month and with the future being incredibly uncertain this can be enough to push millions of people into unmanageable debt.
The other option is to claim universal credit which is only for those who do not have any savings or if your household partner is not is earning a certain amount of money and other conditions such as if you are renting your home, number of children who depend on you, etc.
There are over 5.5 million self employed in the UK and a lot of those business owners do not have enough money to last until the limited government support comes in June, the solution is not to borrow more money and especially at the rates being offered by banks currently.
What is my next step?
Get Help With Debt (part of CD Fairfield Capital) are authorised and regulated by the Financial Conduct Authority and only ever follow strict advice guidelines. If another solution is better for you, we’ll advise you of it during your free consultation If you are worried about the cost and affordability of repaying all of your debts then call to arrange a no-obligation chat with one of our experienced advisors today on 02890 393626.