Saturday 2nd of October 2010
Individual voluntary arrangement (IVA) FAQs might offer a significant amount of breathing space to UK adults who are worried their mounting debts will stop them being able to afford the cost of their home.
According to the latest statistics from money charity Credit Action, growing number of people in Britain are struggling to keep their head above water, with the total personal debt for the country at the end of August standing at £1,428 billion.
The figures also suggest such financial troubles are making it more difficult for individuals to keep up with their rent or mortgage payments, as it shows a property is repossessed every 14 minutes.
If you're worried about escalating debts swallowing up income that could be used for accommodation, IVA FAQs may offer assistance.
The method of insolvency is only available for those who owe more than £15,000 on unsecured financial products and can't help people out with their mortgage repayments.
But if you find you're unable to afford the cost of living because of outstanding loans or credit card balances, an IVA could free up income by whittling away your debts.
What's more, it protects the equity on your home, meaning it may not need to be sold as an asset to boost your financial situation.
By Hayley Jones
- 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
- IVA questions may get Brits into the savings habit
