Friday 18th of September 2009
Debt management plans could support Britons in meeting their mortgage repayments, after one financial expert says meeting such commitments will be difficult long after UK economic recovery.
The number of homeowners with mortgage arrears seems to be increasing, claims Beccy Boden Wilks, debt adviser for the Money Advice Trust, which could show how people struggle to juggle their many financial commitments.
As well as climbing debt, the length of time it could take for some people to get back into employment after being made redundant will add to the number of individuals who default on their mortgage repayments, she states.
Through a debt management plan, a financial expert will be able to reduce the interest on unsecured debt and extend repayment periods, which could mean any spare cash can be put towards paying back a mortgage.
Ms Boden Wilks says: "The human experiences of the recession will still carry on for quite some time."
Indeed, recent unemployment figures from the Office for National Statistics show the employment rate stood at 72.5 per cent for the three months to July 2009, the lowest since the three months to February 1997.
By Rachel Powell
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