Tuesday 8th of June 2010
Funding children through school and university is one of the biggest challenges facing parents in this day and age, with many saving up for years and years to afford the cost of education.
Information on individual voluntary arrangements (IVAs) may, consequently, make a big difference for those of you who want to stump up the cash for your kids to continue their academic lives, but are worried about your debts being an obstruction.
According to new figures from Sainsbury’s Finance, some £37 million was taken out in personal loans in 2009 to help mums and dads pay for school and university fees and general education costs.
IVAs could, however, become a sensible alternative to borrowing that may lead to you emerging out of the red.
And once completed, you might not have to worry about using up your hard-earned income to go towards unsecured debt repayments, instead you could find yourself with more disposable income to put straight into your coffers.
IVA info, therefore, could show you it is possible to get your finances in order in time for your little one’s rise through the educational ranks, without having to rely on credit.
"The cost of education has been rising … These rises can be hard to bear in difficult economic times," Steven Baillie, head of loans at Sainsbury’s Finance, 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
- IVA advice may help Brits get back on track
