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Consumers in debt should not let it get out of control


06/05/2008 09:22:00

Those consumers in debt and who are concerned about their financial situation should confront the problem rather than ignoring it, one money expert has claimed.

According to finance writer Cliff D'Arcy, spenders should attempt to implement a three point plan if they feel their debt is spiralling out of control.

The plan consists of not letting the problem get any worse, seeking advice and contacting their bank to receive advice.

Speaking to Moneyhighstreet.com, Mr D'Arcy said that if financial problems are being experienced, then you should "get in touch with your credit card company and your bank, explain the situation, and see if they are willing to freeze the interest or relax your payments so you can try and balance your budget again".

Meanwhile, new statistics revealed that increasing numbers of consumers have been opting to use an Individual Voluntary Arrangement (IVA) to manage their debt during the first quarter of 2008.

A report from the Insolvency Service showed that 9,614 people took out IVAs in the first three months of the year.


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