Monday 1st of February 2010
If your unsecured debt continues to push your household coffers into the red then you may want to get your questions on individual voluntary arrangements (IVA) answered to try and bring some financial stability to your family life.
A new study from Shelter shows that a typical nursery place in England costs over £8,000 a year, a fee you could be struggling to meet because of your debt commitments.
But the childcare lifeline of grandparents - who you may need to rely on because of your financial difficulties - is being put in jeopardy because many mums and dads cannot afford to move closer to their own parents because of high housing costs.
If you need to start clearing what you owe in order to shoulder the cost of raising a family then an IVA could prove effective.
IVAs can freeze the interest rates on unsecured debts of more than £15,000, which could help you cover the cost of childcare if grandparents live too far away to help with such duties.
"Many families desperately need the support and care of relatives but the current housing crisis is making it impossible for family members to support each other in the way they want to," says Kay Boycott, director of policy and campaigns at Shelter.
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
- Information on IVAs may help consumers turn their backs on plastic
