Saturday 17th of April 2010
Seeking individual voluntary arrangement (IVA) answers could help Brits who have been "ripped-off" by store cards, following new research from Datamonitor.
Recent figures from the firm suggest the use of store cards, which act like credit cards but can only be spent in a particular shop, is gradually declining in the UK.
If you’ve amassed big unsecured debts - worth more than £15,000 - as a result of regular store and credit card use, IVAs could have you debt-free and in full control of your finances in five years.
What’s more, by opting for an IVA rather than bankruptcy, you could avoid the risk of repossession and be able to keep a roof over your family’s head while your get yourself out of the red and back on track, as long as you keep up with your monthly payments.
Pierre Williams, head of research at MoneyExpert.com, says: "Nobody should be shedding tears over the demise of store cards. Most charge hugely inflated rates and are arguably mis-sold in many cases."
- 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
- People 'cannot cut back anymore'
