Sunday 29th of August 2010
Individual voluntary arrangement (IVA) questions might provide useful information to families who are finding it difficult to afford the cost of essentials because of their mounting debts.
According to charity Citizens Advice, schools are adding to households' money troubles by insisting they purchase uniforms from an exclusive supplier.
This, the body says, means people can't save cash by shopping around in supermarkets and other outlets.
Asking questions on IVAs may, however, be a sensible option for those of you who feel they can't afford the cost of school supplies for your kids.
If you have unsecured debts worth more than £15,000 that are swallowing up your income, the measure could have you debt-free after around five years of hard work and discipline.
What's more, this form of insolvency protects the equity on your family home and doesn't require details of your cash problems to be published in the local newspaper - as is the case with bankruptcy.
Citizens advice chief executive Gillian Guy says: "As thousands of youngsters prepare for the return to school in September the question for many struggling families will be: "how do we afford it?"
By Neil Burton
- 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
- Borrowers 'concerned' about meeting repayments
