Home > News > Debt advice

Energy firms `not refunding overpayments automatically` Average household £7 a week richer but debt levels remain high Consumers `cutting back on credit card debt` Mortgage debt often greater than house value Household energy bills `could top £4,700 a year by 2020` Many over 50s `facing financial difficulties` CML lowers repossession prediction Higher electricity prices will pay for carbon capture Unemployment set to rise Inflation speculation `greatly exaggerated` Unemployment reaches 12-year high UK recovery `to start in 2010` People `may be risking finances due to lack of pension savings` Economy `may be bottoming out` Fuel poverty still putting billpayers at risk of debt More than 20% using savings to `pay down` debt Housing market - buyer interest is up ISA rate cuts could raise debt risk Online retail sales to grow Consumers take up gardening to avoid debt

Government scheme to free up credit markets

13/10/2008

Today, the government announced a £50 billion scheme to restore confidence in the UK banking industry and kick-start lending.

To quote from the Government’s News Distribution Service, the proposals aim to:

• Provide sufficient liquidity in the short term;
• Make available new capital to UK banks and building societies to strengthen their resources permitting them to restructure their finances, while maintaining their support for the real economy; and
• Ensure that the banking system has the funds necessary to maintain lending in the medium term

“Basically,” said a spokesperson for Debt Advisers Direct, “The Government is trying to reinforce confidence in the whole banking system by making more cash available to it.

“Recently, banks have been reluctant to lend money to each other – which means there’s been less credit available to normal consumers, from mortgages to credit cards and debt consolidation loans. The banks themselves will benefit from the scheme, and so will consumers. As the BBC reports: ‘Negotiations will take place with each participating institution that will require them to extend normal credit lines to homeowners and small businesses’.

---

Debt Advisers Direct offer a range of debt advice and debt solutions, including debt management plans, debt consolidation and IVAs (Individual Voluntary Arrangements).

Energy firms `not refunding overpayments automatically` 01/07/2009 - A new report by consumer group Which? has claimed that Average household £7 a week richer but debt levels remain high 01/07/2009 - During May, a typical household had £164 a week left Consumers `cutting back on credit card debt` 01/07/2009 - Many UK consumers are cutting back on the amount of Mortgage debt often greater than house value 01/07/2009 - According to the latest findings from global rating agency Fitch,