Thursday 28th of May 2009
Managing finances effectively will help homeowners become debt free much earlier, it has been noted.
HSBC subsidiary first direct has advised those with mortgages to take advantage of low interest rates in order to reduce the amount they owe.
It explained that 11 per cent of homeowners could pay off their debt within the next decade.
Spokesman for first direct Jimmy Kelly remarked: "For many, a mortgage represents the biggest debt they will ever have - the typical householder will have five mortgages over their lifetime, which is a massive commitment," adding that this makes effective management particularly important.
However, with figures showing that debt problems are continuing to increase, paying off such loans early will not be possible for many homeowners.
Earlier this week, R3 revealed that one million people in the UK have been declared ‘technically insolvent’ by their banks.
And those who fear they will find themselves in a similar situation may wish to seek IVA advice online, in order to identify the best debt solutions for them.
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- 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 answers to help older Brits erase plastic deficit?
