как использовать промокод 1xbet
IVA PERSONAL INSOLVENCIES ON RISE
By PRESS ASSOCIATION
Published... View Moreкак использовать промокод 1xbet
IVA PERSONAL INSOLVENCIES ON RISE
By PRESS ASSOCIATION
Published: 11:50 GMT, промокод 1хбет на слоты сегодня бесплатно 29 July 2014 | Updated:
11:50 GMT, 29 July 2014
e-mail
The number of people taking out a type of personal insolvency where money is
shared out between creditors has surged to its highest level since
records started in 1987, according to official figures.
A 20% year-on-year upswing in the number of people using individual voluntary arrangements (IVAs) has pushed the number of
personal insolvencies in England and Wales in the
second quarter of this year to its highest level since autumn 2012, according
to the Insolvency Service.
Some 14,571 IVAs were taken out between April and June, which the Insolvency Service said is
the highest level recorded since their introduction 27 years ago.
IVAs now make up over half of all individual insolvencies.
An IVA is a plan, often lasting for around five years, that someone agrees to in order to pay off their debts to creditors.
They are one of three types of official personal insolvency, alongside bankruptcies and debt relief orders (DROs).
Overall, some 27,029 people slipped into personal insolvency
in the second quarter of this year, marking a sharp 8% jump
on the previous quarter and a 5% increase on the same period last year.
Within the latest quarterly total, both bankruptcies, which are often seen as a "last resort",
and DROs have edged downwards year-on-year.
Experts said the jump in the number of IVAs could
be taken as a sign of the improving economy, as creditors see their prospects of realistically being able
to claw back money increase and consumers become
more confident about being able to commit to such a plan to clear their debt.
Matthew Chadwick, business restructuring partner at BDO, said: "Now property prices are rising, creditors are more likely to think about recouping long-standing debts. A continuing rise in the number of personal insolvencies in the next 12-18 months is therefore likely...
"With the economy looking more healthy, those with bad debts
are now more likely to be asked to pay them back."
Mr Chadwick continued: "Today's rise in individual voluntary
arrangements is typical at our position in the economic cycle
and need not be cause for alarm.
"There are many signs of a strengthening recovery including rising wages, record employment figures and increased retail spend: this, paradoxically, is another one of them."
Low interest rates have been credited with helping to keep insolvency levels
generally subdued during the tough economic climate.
Mark Sands, personal insolvency partner at Baker Tilly, said of
the large upswing in IVA numbers: "This is a sign that people are confident enough in their financial prospects to commit to a five-year regular payment plan to settle up their debts in full with the balance then written off, and reflects the ongoing positive effect of record low interest rates.
"It is to be hoped that many of those people entering IVAs now will be able to
see them through to their successful conclusion, but the prospect of interest rate rises,
even if gradual and limited as promised, will have
a significant impact on those whose budgets are already tight."
Phillip Sykes, vice-president of insolvency trade body R3, said IVAs have become "much easier to
access recently".
He said: "Our members have seen IVAs set up for as low-value debts
as a few thousand pounds and with surplus incomes (monthly incomes set aside to make IVA contributions after payment
of living expenses) well under £200.
"These IVAs wouldn't have been considered a few years ago and people might have used debt management plans or informal arrangements instead."
The Insolvency Service said 5,452 bankruptcy orders were recorded in the second quarter of this year,
marking a fall of almost 16% on the same quarter one year ago.
Bankruptcies have generally been on a downward
path in recent years, but the Insolvency Service said the rate of decrease has slowed recently.
Some 7,006 DROs were recorded in the second quarter of this year, marking a fall
of nearly 2% on the same period a year ago.
This type of insolvency was introduced in 2009 and is aimed at people with relatively low amounts
of debt but no realistic prospect of paying it off.
Mr Sykes continued: "The first half of the year can be a busy time for insolvencies thanks to a combination of people putting off dealing with problems until after Christmas and the post-Christmas bills landing on the doormat in January, February or March."
Ru
RussTurgeon2
Lives in Madison, United States.
About Me
как использовать промокод 1xbet
IVA PERSONAL INSOLVENCIES ON RISE
By PRESS ASSOCIATION
Published... View More