As the amount of Individual Voluntary Arrangements (IVAs) in the UK continues to increase, a lawyer has issued a warning that IVA providers need to be more careful with their advertising. The amount of misleading advertising on IVAs was first highlighted by Debt Free Direct, and has now prompted many industry professionals to agree.
Lenders should be made more responsible for curbing debt in the UK by offering debt management advice to borrowers who are having difficulty meeting repayments.
This should apply to lenders who are not associated with banks. The Banking Code stipulates that banks should fully support borrowers who are experiencing financial difficulties. However, this rule does not apply to individual lenders.
Most people start out with the belief that debt will not entrap them, but talk to some of these people several years later and debt will have taken a hold and changed a positive outlook without debt into one of misery and despair seeking IVAs and other debt solutions.
Laura's debt story
Over 33% of parents in the UK will be turning to their children to help them out of debt and into a retirement home in their old age.
A quarter of British parents interviewed were convinced that their financially better off sons and daughters would support them in their golden years.
When Jilly Jacobs died last year, the bank informed her daughter that her mother had an unpaid debt of £149 in bank charges on her account.
Sally Jacobs ignored this comment from the bank as she thought that all of her mother’s outstanding debt was wiped after her death. However, three months later, the debt had grown to £393.69 due to the bank charging administration fees for direct debit cancellations. She was also charged for overdraft interest and £35 for an unpaid cheque.
When you have an IVA life may be a little hard, you may think that you are missing out on the more exciting things in life because you have got a large monthly repayment that you must pay!
However here are a few tips to living with an IVA and how it really isn't all that bad
IVA tip 1
‘Keeping up with the Joneses’ is such a well-known phrase but are your neighbours leading you into bankruptcy?
Hundreds of families up and down the country are trying to combat personal debt in a bid to keep their children in private schools.
Even though they are pushing themselves to the limits by holding down two or three jobs and taking out consolidated loans, they feel that it is a worthwhile investment.
What you need to know
What goes on?
Advice on remaining debt free
