Sunday 19th of September 2010
Individual voluntary arrangement (IVA) questions could be beneficial for people who are desperate to get rid of their money problems but can't seem to erase their debts.
According to the BBC, the Citizens Advice Bureau (CAB) has stated demand for its services in Northern Ireland is increasing and it's struggling to keep up, such is the amount of money owed in the country at the moment.
Its Dealing with Debt 2009/10 report shows the organisation helped over 2,500 people last year - a seven per cent rise from 2008.
If you're in a similar situation and have an uncontrollable deficit amassed due to personal loans and frivolous spending on credit cards, questions on IVAs could offer you indispensable information.
That's because the method of insolvency cuts the money you owe - if it's worth more than £15,000 - over a period of five years by merging your debt repayments into one reduced-rate monthly outlay.
And an IVA also protects the equity on your family home, unlike bankruptcy.
Project manager at the CAB Scott Kennerley says: "I really think with potential government cuts, the potential impact on the public sector, which the [Northern Irish] economy is very reliant on, could have a huge impact on consumer confidence."
By Chris King
- 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
- Information on IVAs may help see off soaring interest rates
