Wednesday 5th of May 2010
Individual voluntary arrangements (IVAs) could become the sensible option for growing numbers of people in the UK who constantly have to deal with spiralling debts because of the amount of cash they have borrowed.
New figures from Credit Action show average consumer borrowing on credit cards, personal loans, motor and retail finance deals and overdrafts for each British adult stood at £4,593.
And having to juggle debt repayments on this scale, as well as trying to afford the cost of daily essentials, could be a difficult task for anyone.
Which is why answers on IVAs may offer a helping hand.
IVAs can cut unsecured debts on credit cards and personal loans worth more than £15,000, so long as you have the means and discipline to meet the reduced-rate monthly repayments.
And they also the freeze interest on the money you owe - something that may provide a huge boost to your finances, especially as the Credit Action data states the average interest paid down on debt by each British household is around £2,692 every year.
By Chris King
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