New Breathing Space scheme for residents in debt
Breathing Space, a new debt respite scheme, launched today (4 May 2021), giving eligible people time to take steps towards managing their debt. The initiative provides temporary protection from most types of debt collection, by halting enforcement action from creditors and freezing interest and fees for a set period.
Under the scheme, the standard Breathing space option provides applicants with a 60-day period in which interest and fees associated with qualifying debts will be paused, while the individual receives professional debt advice to find a long-term solution to their financial difficulties.
There is also an alternative option for those receiving a mental health crisis treatment. Under the mental health crisis Breathing Space scheme, successful applicants will be granted a pause on interest and fees associated with qualifying debts for the duration of their crisis treatment, plus 30 days.
To find out more about Breathing Space including eligibility criteria and how to apply, please visit www.haringey.gov.uk/breathing-space
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