Wednesday 26th of May 2010
The number of families struggling to afford the cost of living could be on the up, as Asda states the disposable income of families in the UK has dropped.
Information on individual voluntary arrangements (IVAs), therefore, may be worth looking into for households that also have high levels of debt to deal with.
According to Asda, British families are now £8 worse off a week in terms of cash available to them for spending and saving.
And this could be even less again if they have to pay off money owed on unsecured financial products.
IVAs, however, may help you free up some extra income by whittling down debts of more than £15,000 over a period of five years.
They require a lot of hard work, but merge your repayments into one, potentially meaning less of your spare funds are used in the attempt to get out of the red.
Seeking IVA info may therefore be a sensible decision, if Asda president and chief executive officer Andy Clarke’s comments are anything to go by.
"This month’s tracker shows £8 a week drop in disposable income, reiterating that life is still tough for consumers and this is unlikely to change," he says.
By Rachel Powell
- 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
- Lenders 'charge for debt management advice'
