0800 097 3653
Personal debt problems escalate to go out of control
London (go4ukloans) August,8th 2006
The insolvency experts find problems of personal indebtedness spiralling out of control and becoming unmanageable for the majority of borrowers. The experts indicate further mounting of the pressure.
With the revelation of official figures, insolvency experts have pinpointed the serious problem of personal indebtedness. A record number of borrowers have failed to keep up their repayments on loans, overdrafts, and credit cards.
The government revealed that a record 26,021 individuals could not fight the battle of repayment and became insolvent in the second quarter. The record rise of 66 per cent over the past year had paved the way to touch the 100,000 barrier to record a break through for the first time in the current year.
The council for Mortgage Lenders also witnessed a sharp rise in the number of homes repossessed in the first half of the year. In addition, personal insolvencies in the second quarter included 14.915 bankruptcies and 11,105 Individual Voluntary Arrangements (IVAs) that allowed people to repay a set of amount of their debts each month at a capped interest payment.
The director of Personal Insolvency, Mark Sands, at KPMG indicated that the pressure could mount further as consumers faced higher energy bills and rising interest. He further commented that a figure of 100,000 would mean that someone was entering formal insolvency every minute of the working day.
Vince Cable, Treasury representative for the Liberal Democrats blamed the financial services industry. He also added that the lenders had an obligation to stop those practices and to provide greater levels of advice.
Other Related News:
London (go4ukloans) August,8th 2006
The insolvency experts find problems of personal indebtedness spiralling out of control and becoming unmanageable for the majority of borrowers. The experts indicate further mounting of the pressure.
With the revelation of official figures, insolvency experts have pinpointed the serious problem of personal indebtedness. A record number of borrowers have failed to keep up their repayments on loans, overdrafts, and credit cards.
The government revealed that a record 26,021 individuals could not fight the battle of repayment and became insolvent in the second quarter. The record rise of 66 per cent over the past year had paved the way to touch the 100,000 barrier to record a break through for the first time in the current year.
The council for Mortgage Lenders also witnessed a sharp rise in the number of homes repossessed in the first half of the year. In addition, personal insolvencies in the second quarter included 14.915 bankruptcies and 11,105 Individual Voluntary Arrangements (IVAs) that allowed people to repay a set of amount of their debts each month at a capped interest payment.
The director of Personal Insolvency, Mark Sands, at KPMG indicated that the pressure could mount further as consumers faced higher energy bills and rising interest. He further commented that a figure of 100,000 would mean that someone was entering formal insolvency every minute of the working day.
Vince Cable, Treasury representative for the Liberal Democrats blamed the financial services industry. He also added that the lenders had an obligation to stop those practices and to provide greater levels of advice.
Other Related News:
