Increasing numbers of people in the UK are facing bankruptcy as their financial commitments become too great to address, it has been suggested.
New figures from the Insolvency Service highlight the situation in one region of the UK – although the pattern is being repeated elsewhere in the country.
According to the service, Wales has seen nearly 4,000 new enquiries about bankruptcy in 2006 and 2007 as a means for consumers to rid themselves of monetary difficulties.
“We would urge anyone with serious debt problems to get free, expert, independent advice from a Citizens Advice Bureau or other reputable advice agency,” comments Catherine Torazzo of the Citizens Advice Bureau.
Meanwhile, MP Lembit Opik has told the Shropshire Star that the figures are testament to a “culture of irresponsible lending” as well as a lack of understanding among consumers about personal finance matters such as bankruptcy and individual voluntary arrangements (IVAs).
Recently, to increase consumers’ confidence when investigating financial assistance such as an IVA the British Bankers’ Association worked alongside providers to establish a set of standards ensuring fair and transparent dealings.