Friday 2nd of July 2010
Individual voluntary arrangement (IVA) answers could help those who are contributing to what one expert has described as a "shockingly high" level of debt in the UK.
Ed Bowsher, head of consumer finance at lovemoney.com, noted that while people are generally reluctant to increase their borrowing, steady rises are likely to be seen in the coming year.
He was commenting after figures from Credit Action revealed 0.9 per cent growth in debt levels over the last 12 months.
Those who are struggling to keep on top of what they owe may benefit from IVA information, as it can show there is a way out of mounting problems.
If you owe more than £15,000 to three or more creditors and are prepared to put in the hard work and commitment to pay it off, an IVA could be the way to do it.
"Most people have been scarred by the financial crisis and are worried about taking on more debt when the future is so uncertain," Mr Bowsher observed.
By Kimberley Parsons
- 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 may have prevented former football director's bankruptcy
