Thursday 1st of October 2009
Almost 10,000 new cases of debt are reported to the Citizen’s Advice Bureau (CAB) every day, some of which could be helped by the implementation of an individual voluntary arrangement (IVA).
October’s Credit Action report also states that total lending rose by £0.7 billion in August.
Of the 9,300 people in England and Wales who contact the CAB each day, some may see a five-year IVA with manageable repayments and reduced interest rates as desirable.
IVA advice may also be the answer for people with debt problems who are seeking a realistic way of paying back what they owe without being made bankrupt.
Bankruptcy often means your home and business are taken, but this may not be the case with an IVA.
The Credit Action report also reveals that 362 people are currently made bankrupt each day and predicts this could rise to 411 by the end of 2009.
Distressed debtors may want to take IVA advice immediately which could increase their chances of avoiding bankruptcy, especially as the report notes that 2,696 people are currently made redundant each day.
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
- IVAs could be the best solution for lenders and borrowers
