Thursday 17th of June 2010
Individual voluntary arrangement (IVA) questions could help young adults get their finances under control, following figures from insolvency trade body R3.
According to the organisation, of those struggling with a debt problem, a greater percentage of young people are more likely to try and bury their heads in the sand and leave their bills unopened.
In addition, it found 36 per cent of 18 to 24-year-olds surveyed are refusing to contact anyone to help with their money issues.
Asking questions on IVAs could, however, be a wise step for those who want to stop running from their problems and take action.
IVAs are available for people who are employed and owe more than £15,000 on unsecured financial products such as credit cards and personal loans.
And they merge the various different credit repayments into one, interest-free monthly outlay, potentially offering people more control over their finances.
"Despite a global recession and near financial meltdown, younger generations are still operating on the basis that high levels of debt are normal," president of R3 Steven Law comments.
By Neil Burton
- 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
- 'Do not delay' getting IVA advice
