Monday 21st of December 2009
Cash machines will be hit by an increasing withdrawal rate this December, with £619 million more set to be taken out this month when compared with the same period last year, a new report reveals.
The figures from Sainsbury’s Finance show that the amount of money Britons will take out of cash machines will be 12.4 per cent higher this month compared to others, which could see an increasing number of people needing an individual voluntary arrangement (IVA) in the new year.
If credit and debit card debt has reached an all-time high for households, they may find an IVA answers their plastic reliance by merging unsecured debts into a more manageable and single monthly repayment.
This could leave a little spare cash for people to cover their everyday costs, rather than taking yet another trip to the ATM.
Alex Blake, head of ATMs at Sainsbury’s Finance, says: "This party season, make sure you don’t leave getting your cash to the last minute - why not get your spending money whilst you’re doing your shopping."
Following this advice could mean individuals are less likely to go out armed with a credit card to pay their way through the party season.
By Chris King
- 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
- IVAs could help repay post-Christmas debt
