Kerry Katona has shown the way for thousands of ordinary people with debt problems by going public over paying her way out of bankruptcy with a £350,000 pay day for signing up with TV reality show Celebrity Big Brother.
Her determination to deal with her bankruptcy has set an example for many of her less well-off fans.
The cheque she picked up for the TV show paid the 31-year-old ex-Atomic Kitten’s singer’s debts and let her keep her home.
The mother-of-four paid off all her creditors and can apply for a mortgage and credit cards again after she ending her three-year-order.
Friends said that Kerry is "relieved and proud" of clearing her debts.
"She's really chuffed, and she should be too. She put her head down, worked hard and done the right thing," they said. "The people in charge of her bankruptcy thought she would blow all her Big Brother money but she handed it over to them to settle her debt. They've made it clear they will not object to any request she makes to the courts to have her bankruptcy discharged."
For others with concerns over debts, bankruptcy is not the only solution.
A good debt adviser will tailor a debt survival plan that meets individual financial circumstances.
This could be a straightforward financial management plan that makes repayments more affordable, an individual voluntary arrangement or debt relief order.
A financial management plan deals with unsecured debts, like credit cards, car loans and store cards by rescheduling repayments out of disposable income, which leaves enough cash to pay day-to-day living costs.
Different debt solutions are available depending on how much money is owed and whether the person owing the cash has a job or home of their own.
Bankruptcy is very much the last resort – and cases like Kerry Katona, who was rumoured to owe around £425,000, are exceptional.
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Notes to editors:
- Money Debt and Credit is one of the UK's fastest growing financial solution companies.
- The company was founded in 2006 on the belief that every client has the right to appropriate financial advice. Since then we've gone from strength to strength and have helped thousands of people with a variety of financial solutions.
- We offer a range of services including Financial Management Plans, Loans, Mortgages, Full & Final Settlements, Bankruptcy, Investments and Pensions.
- Specialties: IVAs, Financial Management Plans, Loans, Mortgages, Trust Deeds, Full and Final Settlements, Bankruptcy
For more information or debt advice contact:
Money Debt and Credit
45 Clarendon Road, Watford, WD17 1SZ
Tel. 0800 16 999 46
Image: Kerry Katona Twitter
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