Tuesday 25th of May 2010
Consumers across the country were recently given the good news that the new coalition government is planning on giving new powers to regulators to cut out excessive interest rates on credit and store cards.
Information on individual voluntary arrangements (IVAs), however, could provide support for those who are already paying the price of shelling out over the odds on plastic.
Commenting on the announcement, Darren Cook, spokesman for Moneyfacts, says: "It is about time [the government] looked at the charges. [It has] to get the regulation together, as these charges normally affect the people who can least afford them."
IVAs may be of benefit to cash-strapped Brits who have a serious card addiction and have found it difficult to pay back the money they owe because of mounting interest.
That’s because they freeze the rates on unsecured debts worth more than £15,000, merging all your repayments into one, controllable monthly outlay.
Searching for IVA info may also help to show you the hard work needed to get out of the red.
And you could find it puts you on track to kick your expensive plastic habit once and for all.
By Kimberley Parsons
- 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
- Credit Action: Brits still owe more than UK produces in a year
