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Government Debt Consolidation Loans – The Honest Truth

If you’ve come to this page seeking government debt consolidation loans, we have some news for you – they don’t exist. Strangely, this is a myth which regularly comes up so we thought we’d take the opportunity to shut this down once and for all.

If looking for debt consolidation though, you’re in the right place. Click the button below and, if approved, you could have the money in less than 24 hours.

Are government debt consolidation loans available?

The government does not provide debt consolidation services. However, it’s understandable why people think so because some debt solutions have been introduced and legislated by our government. For example, under UK legislation, you may be able to:

  • Get an IVA (Individual voluntary arrangement);

  • Declare yourself bankrupt;

  • Obtain a debt relief order;

  • If you live in Scotland, you may also be eligible for the debt arrangement scheme or a trust deed.

Government debt consolidation loans are not on this list and it’s very unlikely politicians will change their position.

Are interest-free government debt consolidation loans not available either?

Government-related debt support is usually associated with free help or more support. With an IVA, for example, your interest rates and charges are frozen while you focus on clearing what you owe. If the government did consolidation loans, there would probably be a period where interest rates wouldn’t apply.

Although consolidation loans do come with interest, the rates are generally less than what you’d be paying usually with all your combined accounts. After all, one of the reasons why debt consolidation is so popular is it simplifies your financial situation – leaving you with one lender to repay, one interest rate to manage, and one payment date to keep.

What happens to companies advertising government debt consolidation?

Despite this product not existing, some companies still use phrases such as ‘government debt consolidation’ in their adverts and across their pages to mislead people – possibly in an effort to make themselves seem more authoritative than they actually are.


Regulators, such as the Financial Conduct Authority, have noticed and taken necessary steps against these organisations. Penalising those falsely advertising government debt consolidation, this at least means the misleading adverts will hopefully become less common.

If you do see a company saying their consolidation loans are endorsed by the government, we advise treating them with caution. Chances are, they are just trying to mislead you.

Debt is a very personal matter – you want a group to help you tackle it which at least has your best interests in mind.

Want a FREE consultation?

Government debt consolidation loans aren’t available – and they probably never will be. This doesn’t mean you won’t be eligible for a consolidation loan though. As money worries are probably at the forefront of your mind, we’d be happy to give you a free initial consultation on your financial situation.

If we believe debt consolidation would benefit you, we’ll strive to find the best deal possible. At no obligation to you, we’ll present all the facts so you can make an informed decision about resolving your debt.

Can I get a consolidation loan?