Thursday 19th of August 2010
Information on individual voluntary arrangements (IVAs) could prove beneficial to those struggling to cope with the rising costs of living.
While inflation has been shown to be declining, one expert observed individuals face very different levels and some will therefore still be in difficulty.
Annie Shaw, editor of CashQuestions.com, suggested last month's level of 3.2 per cent - down from 3.1 per cent in June - was good news, but may be hiding other factors.
"We are seeing huge increases in the price of some foods and other things, like oil prices, have been very volatile. We have also seen increases in the price of petrol and utilities," she said.
Those who find themselves relying on debt as a result of high costs may find that IVA answers show them a way in which they can learn to live within their means.
An IVA allows a borrower who owes more than £15,000 to have the interest frozen while debts are paid off over a period of five years, although a significant commitment is required if this is to be successful.
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
- An IVA could stop your search for unsecured credit
