Do you need Debt Advice?
Debt problems? – Don’t be afraid of dealing with your debt!
With economic conditions in the UK still very testing, debt problems continue to mount up for a large proportion of the population. Mortgage repayments, credit card debt and other forms of debt obligation can quickly grow to unmanageable proportions and spiral out of control, particularly if a change in circumstances such as redundancy or a reduction in working hours is thrown into the mix. Sometimes, poor spending habits are also a factor, contributing to debt problems without us really being aware of what is going on.
Debt Problems in the UK
Debt problems are on the increase in the UK, with many consumers finding it hard to balance the demands of mortgage repayments, credit card debts and the everyday expenses of running a household. With many also dealing with the threat of redundancy or the pain of losing their jobs, it’s inevitable that debt problems in the UK are on the increase.
An IVA (Individual Voluntary Arrangements), is a formal proposal for repayment of debts that is presented to creditors via an Insolvency Practitioner. IVAs were first introduced to the UK in 1986 under Part VIII of the Insolvency Act 1986 and they are a legitimate and legal way to handle certain types of debt. An IVA is usually used to manage unsecured debts, and generally does not affect the claims of secured creditors. However, it is possible in some cases to use an IVA to also cover secured debts.
Living With An IVA
Consumers considering an IVA usually have many questions about what life might be like during the lifespan of the agreement. There is a great deal of so-called IVA debt advice on the Internet, yet finding useful factual information can sometimes prove difficult.