Monday 29th of March 2010
Getting used to the idea of shelling out large amounts of cash in the form of mortgage repayments can be an unfamiliar change for many people - but one that individual voluntary arrangement (IVA) answers might help make easier.
Although IVAs can’t help you cut down the money owed on your home loan, over five years they can erase unsecured debts accrued on credit cards and personal loans worth more than £15,000.
That means more attention - and funds - can be set aside for your monthly mortgage repayments, which your spiralling debts may have previously rendered this a difficult task, but one you were able to just about manage.
And it could be that more people are in need of asking IVA questions, after the Bank of England revealed that 47,094 mortgages were approved in February.
What’s more, the data showed consumer credit increased by £0.5 billion last month, while credit card lending also went up by £0.4 billion.
Written 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
- Information on IVAs may help remove credit card risk
