Borrowers may be able to suspend paying their debts for up to a year as part of new proposals set out by the Ministry of Justice.
The proposal is aimed at people with several low-value debts who experience a sudden change in their circumstances. The Ministry of Justice has outlined the proposals in a consultation paper, due to conclude on 16 April 2008. It suggests that those with several small debts could apply to the court for an Enforcement Restriction Order (ERO), preventing a lender from enforcing payment and giving the borrower extra time to repay. However, the borrower would have to prove they could reasonably afford to repay the debt at some point in the future. Bridget Prentice, civil justice minister, sa...
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