Personal Grants To Pay Off Debts - Can I Get Free Money To Pay Off Debt?

If you search the internet for government grants to pay off your debts, you may well get the idea that there are many such gifts awaiting you, if you could just find out how to actually get your hands on them. Sadly this is not really the case. While there are many government grants available to people in the US, none of these are for you to directly pay off your debts. The grants are for a range of initiatives, including business start-up ideas. Such grants for new businesses are usually to support ideas which meet particular criteria, such as benefiting the local community or fulfilling some obvious need in the area.

The reason there is so much confusion about this area is that many websites advertise the availability of government grants in such a way as to give the distinct impression that the grants are for paying off your debts. In actual fact such adverts are usually carefully worded, and the real meaning is that you could get a grant to start a business which you would develop to make some money, which in turn would then enable you to pay off your debts. Clearly this is a very different thing to receiving free money to pay off your debts directly.

The truth is that in the US and the UK there are just no such things as government debt relief grants. Grants for debt should not be confused with Debt Relief Orders in the UK, which are not grants, but a form of bankruptcy, with very similar consequences. Advertisements offering government grants for debt relief are bound to be trying to sell you something – probably either bankruptcy services or a directory of grants which will be for everything except debt relief.

Bankruptcy is a way of ending your serious debt problems, but is a huge step to take and not one which should be entered into lightly. Most debt problems can be dealt with by dealing with your creditors directly to negotiate new terms for repayment of your debts. There are few debt problems that cannot be resolved this way, and it is the only way which avoids either borrowing even more money or paying someone for their professional services. Choosing a route that involves further spending or borrowing ultimately only results in you paying out even more money at a time when you can least afford it.

The best way of dealing with your debt will depend on your exact circumstances, but debt management plans are effective for most people with a fairly large amount of unsecured debt. For this to be suitable you need to have an income and a certain amount spare each month to pay towards your debts. These are available in both the UK and US. If your situation is more serious and you have less money spare, you may be better looking at debt settlement, which will actually reduce the amount you owe considerably. The equivalent of debt settlement in the UK is an IVA.

Read recommendations for reputable online debt settlement companies.