Wednesday 29th of September 2010
Individual voluntary arrangement (IVA) answers could be of benefit to Britons who have had to significantly cut their spending as a result of mounting unsecured debts.
According to research carried out by comparison website Gocompare.com, struggling UK adults are making huge changes to their lifestyles in order to save some cash and afford the cost of everyday living.
The study showed 59 per cent have reduced the amount they eat out, while 44 per cent are buying items from discount stores and nine per cent have cancelled newspaper and magazine subscriptions.
Seeking answers on IVAs could, however, be a sensible step for people who have racked up serious levels of debt on credit cards and personal loans and are still struggling to keep their heads above water, despite the cutbacks they've already made.
This measure may be able to offer you a fresh financial start by whittling away money owed on unsecured financial products worth more than £15,000.
It freezes the interest on your credit and merges all of your repayments into one, potentially making your bank balance easier to manage than before.
John Miles, business development director at Gocompare.com, says: "Clearly Brits are looking to make cutbacks to help their cash go further, but many people could still save a lot of money by shopping around for the most competitive deals for their financial products and utilities."
By Kimberley Parsons
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- IVA questions may offer breathing space to Brits worried about job security
