Wednesday 7th of April 2010
Individual voluntary arrangements (IVAs) could help those of you who splash the cash regardless of the debt you’re in regain a grip on your finances.
We all know it can be easy to get addicted to plastic and treat your card like it’s not real money.
But embarking on an IVA could get you out of this bad habit - and out of the red - but it will take five years of strict financial planning before it can completely clear what you owe.
And now could be the perfect time to seek IVA answers, with the effects of the recession still being felt across the country.
Andrew Hagger, spokesperson for Moneynet.co.uk, states: "There are probably a lot of people out there who know somebody that has been affected, maybe somebody who has lost their job or fallen on hard times with their money."
Even if you’re one of the lucky ones who managed to survive the downturn with employment intact, how do you know it won’t happen to you or your partner in the future?
If you’re currently struggling with large unsecured debts, a sudden, unexpected job loss could push your household over the edge.
However, starting an IVA now could help you cut down on these debts, boost your coffers and cope with any "hard times" that may always be just around the corner.
By Rachel Powell
- 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 levels 'greater than salaries'
