Wednesday 25th of August 2010
When it's time for people to come to the end of their working lives, it can become stressful if they realise debts are getting in the way of their ability to create a sufficient nest egg for themselves.
Information on individual voluntary arrangements (IVAs) could, however, offer answers that can show you how to free up income and start filling your coffers.
According to recent research by Schroders, 31 per cent of UK adults have made use of their investments and savings to supplement their salary over the past 12 months.
Commenting on the findings, a spokesman for Candidmoney.com says this is bad news, "as the average Brit is already saving too little for a comfortable retirement".
He added, though, "it's better to raid savings than borrow at sky-high interest rates".
An IVA might be an option if you find yourself with too small a nest egg to ensure a comfortable retirement and are racked with unsecured debts.
The measure freezes the interest on the cash you owe on credit cards and personal loans and merges your repayments into one while whittling away your deficit.
And IVA info could also show you it is possible to get your finances in order even if your debts seem impossible to tackle - albeit with hard work and discipline.
By Kimberley Parsons
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- 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
- IVA questions may help allay joblessness fears
