Monday 4th of January 2010
If you are in a job which pays below the minimum wage - despite it being illegal - you may be too scared to say anything to your employer in case they sack you.
With such a low wage, you may have found it necessary to rely on personal loans and credit cards to cover everyday costs. But with little disposable income to clear your balances, debt repayments could be spiralling out of control.
An individual voluntary arrangement (IVA) could help answer your debt concerns if your wage is nowhere near high enough to cover the climbing interest repayments.
Not only can IVAs freeze interest rates but they also merge unsecured debt into one, monthly and more manageable repayment, which could help your wage stretch further.
In an effort to tackle "rogue employers" who refuse to pay the minimum wage, the government has announced that a new HM Revenue and Customs team will work on the most complicated cases.
"Employers undercutting the wages of local workers put unfair pressure on businesses struggling to compete and cause resentment in the community," says communities secretary John Denham.
By Rachel Powell
- House price rise 'may not indicate recovery'
- Equity release 'needs to be increased'
- Need for IVA help could increase as expert predicts reduction in lending
- Government announces 'breathing space' for those needing IVA help
- Lack of subprime lending creating need for IVA help, expert suggests
- Loan interest rate hike could require IVA advice
