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Consumers `struggling to cope with mounting debt` Bankruptcy increases by 7% `More Brits applying for personal loans` 70% of Brits `without unsecured loans` Pre-paid cards `more popular as debt rises` IVAs `a real alternative` to bankruptcy Brits `trying to escape credit crunch` by moving abroad West Sussex consumers suffering debt IVA agreements increase Industry body welcomes IVA mailing probe OFT to target bogus IVA companies IVAs can be "helpful" for large debts IVAs - consumers warned about bogus deals Insolvency rates rising IVAs can be "better option" than bankruptcy IVAs are `helpful but should not be taken lightly` IVAs `good to get out of tricky situations` People should "think very carefully" before entering an IVA IVA `saved businessman`s house` Govt unveils new IVA code

Ivas offer `invaluable solution` but not the only one

30/10/2007

Each consumer with a different debt problem requires a different solution, ranging from an individual voluntary arrangement (Iva) to debt consolidation, a leading financial expert has claimed.

Earlier this year, financial experts stated that the uptake of Ivas would outstrip bankruptcies, but this has not been the case because a number of those in debt are not eligible for such a solution, Debt Advisers Direct said.

Instead, many consumers who are experiencing debt problems are looking at taking out loans for debt consolidation purposes or remortgaging their houses. However, for those whose only other solution is bankruptcy, an Iva can be a way out of debt.

A spokesman for Debt Advisers Direct said: "Many people simply aren`t eligible as Ivas are only available to those with significant debt who can`t afford to pay it in a reasonable period of time. Also, many people would be much better served by other debt solutions, such as remortgaging, debt consolidation or a debt management programme."

There were 26,956 insolvencies, either through Iva or bankruptcy, in the second quarter of 2007, according to Credit Action.

Many debts unaffected by base rate cut 09/01/2009 - Yesterday, many borrowers welcomed the Bank of England’s base rate 1.5% base rate – an historic low 08/01/2009 - Today’s base rate cut by the Bank of England’s Monetary Gas price cuts expected 07/01/2009 - Energy company Scottish Power has announced the launch of a Personal debt about £1.5 trillion 07/01/2009 - The UK’s personal debt stands at around £1.5 trillion, according