Tuesday 8th of September 2009
Individual voluntary arrangement (IVA) advice could be required by Britons who are in low-wage jobs after a claim suggests they have been hit the hardest by the recession.
The Trades Union Congress (TUC) states that the retail industry has experienced the largest rise in individuals claiming Jobseekers Allowance (JSA) during the last year, which could impact on employees’ ability to meet their financial commitments.
Between July 2008 and July 2009, the number of people claiming the dole has risen by more than 700,000, which could mean that more Britons turn to IVA help to discover what move they should make regarding their debt.
Such a debt solution may be required, after the TUC notes that low-paid workers are more likely to spend longer on JSA than any other employees.
However, should a household income be hit, an IVA can make unsecured debt repayments more manageable by merging them into one single, affordable repayment.
"It’s clear many people are spending a long time on the dole and £64.30 a week is not enough to get through the week," comments Brendan Barber, general secretary of the TUC.
By Neil Burton
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- 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 fight for entrepreneur to avoid bankruptcy
