Friday 9th of April 2010
Individual voluntary arrangements (IVA) could help low-income families who find everyday costs are seemingly uncontrollable.
Even with two wages, these might not be able to stretch far enough to cover household bills, the expense of raising children and unsecured debt repayments such as personal loans and credit cards.
Concerns have been raised in particular for mums and dads in London, after mayor of London Boris Johnson scrapped the childcare team of the London Development Agency.
This team offered better access to childcare for low-income parents. This Is London claims the average weekly cost of a part-time nursery place in the city for kids under two is £109.
Parents who are seriously struggling with everyday expenses may want to start getting some IVA answers to ensure their kids don’t miss out on future opportunities because of large unsecured debts.
IVAs can freeze the interest rates on such borrowings, giving mums and dads some financial breathing space, without the risk of losing their family home as long as they keep up with repayments.
"The pressure on parents to find and pay for childcare is huge and nowhere is this more the case than in London," Alison Garnham, chief executive of the Daycare Trust, tells the publication.
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
- Debt advice 'better than taking out new loans'
