People should make sure they are aware of the potential implications of entering into either an Individual Voluntary Arrangement (IVA) or bankruptcy arrangement, suggests James Jones, consumer affairs manager at Experian.
Advice from impartial professionals can prove invaluable in such instances and credit consumers must not enter in to an IVA lightly, Mr Jones continued.
“Bankruptcy and IVA shouldn’t be seen as an easy way out of debt, because there are obviously serious implications,” Mr Jones remarked.
“But, of course, that is the right solution for some people,” he concluded.
Recently published figures from the money education charity Credit Action revealed that around 300 declarations of insolvency are made every day in the UK.