Wednesday 29th of September 2010
Individual voluntary arrangement (IVA) questions might offer useful information to Britons who find it extremely difficult to reduce their outstanding debts.
The Bank of England announced today (September 29th) that £100 million worth of consumer credit was paid back last month.
However, according to chief executive of the Money Advice Trust Joanna Elson, the sum is just 0.05 per cent of total unsecured credit currently outstanding.
In addition, credit card lending to individuals went up by £100 million in August, the Bank of England stated.
Questions on IVAs may, however, offer plenty of useful information to those of you who are looking for a way out of your escalating money troubles.
This method of insolvency could have you completely debt-free after around five years and help you get your finances back on track.
However, to be eligible for an IVA you must be in full-time employment and have the means and discipline to meet approximately 60 reduced-rate debt repayments.
Commenting on the Bank of England figures, Joanna Elson adds: "Credit can be an important tool to smooth the economic peaks and troughs of life, but … people [with] unmanageable debt are hampered in many areas of their lives and incur significant costs to society."
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
- Divorce debt may be wiped out by IVA
