Wednesday 25th of August 2010
Money troubles can be an extremely stressful burden on an individual. However, this is often amplified - and could spiral out of control - if you don't manage to keep an eye on your outgoings.
Information on individual voluntary arrangements (IVAs) may, though, be useful for those of you who have lost control of your bank balance and ended up deep in the red as a result.
According to MyVoucherCodes.co.uk, 51 per cent of respondents to a survey said they never read letters from their bank, while 24 per cent stated they ignore their bank statements.
Some 42 per cent of those who pay no attention to the state of their account explained this is because they'd rather not know how bad their money situation is.
IVA information could, however, show people it is possible to sort out their money troubles and get out of debt once and for all.
The measure whittles away the cash you owe - if it's more than £15,000 - on unsecured financial products over a period of around five years.
In addition, the method of insolvency may be favourable to bankruptcy, as it doesn't require details of your problems to be published in the local newspaper, or obstruct your path into certain careers.
And it requires a serious amount of dedication and hard work, which may just highlight to you the importance of taking responsibility for your money in the future.
Commenting on the news, David Rodger, managing director of national charity the Debt Advice Foundation, explains: "For anyone who is struggling with their finances, it's even more important to know where you stand; not only to ensure your priority debts are being paid but also because you may be able to identify specific periods during the month that are causing your problems."
He adds: "It is essential that people check their bank statements - even if the contents don't make pleasant reading."
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 are available to debt-struck residents in Northern Ireland
