Wednesday 22nd of September 2010
A large proportion of Brits understand the need to save for the future and ensure their finances can survive any unexpected events that occur later down the line.
Information on individual voluntary arrangements (IVAs), however, could offer assistance to those who realise the importance of filling their coffers but have large unsecured debts hampering their attempts.
According to figures from the Janus Capital Group Survey of European Consumer Finances, only 32 per cent of European consumers are currently managing to stash funds away for a rainy day.
What's more, those who were once considered most likely to save - people aged between 35 and 54 - have actually been doing so the least.
And this could effect future generations too, as 42 per cent of respondents don't expect to leave "significant" amounts of cash to their kids.
IVA info might, however, be useful if it's debts that are causing the problem.
That's because the measure can clear money owed on credit cards and personal loans over a period of around five years, as long as the person involved cooperates and is dedicated to completing the process.
You may also find that once you're out of the red, income that was previously swallowed by debt repayments is freed up, offering you considerably more breathing space.
By Chris King
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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
- Credit card price hike could make IVAs more attractive to indebted Britons
