Thursday 13th of May 2010
Seeking information on individual voluntary arrangements (IVAs) may be a wise choice if you’re starting to think about retiring, but worried how debts will affect your lifestyle.
According to research from MGM Advantage, 16 per cent of older Brits expect their standard of living to diminish "significantly" once they retire, with 31 per cent predicting it to decrease slightly.
However, unsecured debts on credit cards and personal loans could be an extra headache for you if your income drops after retiring.
IVAs may offer you a helping hand, though, as they may have you debt-free after five years of hard work and discipline if you have the means to meet the reduced-rate monthly repayments and owe more than £15,000.
And obtaining IVA info in good time could ensure you’re out of the red and ready to enter retirement with a clean financial slate.
Aston Goodey, sales and marketing director at the firm, says: "People who have worked hard all of their lives are now facing the prospect of not having sufficient income to maintain their current lifestyle."
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
- Over 55 and still in debt? An IVA could secure your financial future
