National Debtline reports substantial increase in enquiries
The UK government funded National Debtline has today reported an increase in enquiries from 16,000 a month to 23,000 a month in November. This reflects the ever worsening financial situation for the general UK consumer with money becoming tighter and job security a serious issue from many. There are also concerns of a substantial increase in debts as more and more UK consumers are unable to keep up with payments on both mortgages and non-mortgage arrangements.
It is worth pointing out that there are legal guidelines which offer protection to those in financial trouble put advice should be sought at the earliest opportunity to maximise the chance of retaining the vast majority of their assets. Those who sit back and assume the economy will pick up and they will overcome their financial difficulties are the ones most at risk as ignorance of the issue could have serious implications.
The government is also forecasting a substantial increase in bankruptcies and IVAs across the UK but there may well be a time lag between increased figures in these areas and the ever worsening economic situation. While for many the prospect of bankruptcy or some form of individual voluntary arrangement would seem like a worst case scenario, the stigma attached to these is very different to that of many years ago.
Share this..
Related stories
Are investors interested in the Kraft Foods bid for Cadbury?
The £10 billion offer for Cadbury, from US giant Kraft Foods, has received a relatively lukewarm welcome from Cadbury shareholders so far. While the initial offer from Kraft Foods values Cadbury at well below the current share price this is nothing but an opening shot and we should see more activity in the days and weeks ahead. However, despite the fact that Cadbury and Kraft Foods would appear t...
Read MoreWhat now for UK mortgages?
It will come as no surprise to see the warning flags starting to appear across the UK mortgage sector. Funding is quickly disappearing from the money market, the housing market is in a sharp decline and nobody wants to buy a home today. Mortgages are now sure to increase as the cost of debt on the money markets is sure to balloon over the next few days and weeks.
We have already s...
Debt management companies under pressure
A number of debt management companies in the UK are this week fighting for their future after the OFT issued 129 formal warnings to companies operating in sector. The OFT undertook a "website sweep" posing as a mystery shopper only to find that some of the advice and information given to potential customers was well below the standards expected. Indeed the OFT has gone as far as to suggest that...
Read MoreSantander bids for 318 Royal Bank of Scotland branches
Spanish financial giant Santander is believed to be the only firm bidder for 318 Royal Bank of Scotland branches up for sale. Parties close to the auction have indicated that a bid of between £1.5 billion and £2 billion has been placed by the Spanish giant which is looking to expand its UK operations as soon as possible. So will Royal Bank of Scotland accept the offer? The truth is that Royal...
Read MoreSports Direct hits a sticky patch
While Sports Direct owner Mike Ashley has been in the news of late with regards to his investment in Newcastle United Football Club and the turmoil caused by the departure of Kevin Keegan, it seems that there is also turmoil elsewhere in his business empire. Sports Direct has confirmed that trading conditions 'remained the toughest in the group's history' prompting research analysts to get out th...
Read More