Debt enquiries continue to rise
Recent reports from the Citizen's Advice Bureau and the Consumer Credit Counselling Service have confirmed that as 2007 gets underway debt related enquiries from struggling consumers in the UK continue to rise.
Both agencies have reported seeing a rise in the number of enquiries that they receive with regards to financial struggles, and both state that over fifty percent of these have been from single people, and half of these were single women.
According to the Citizen's Advice Bureau there has been a fifteen percent increase in the number of people seeking debt related advice from the bureau over the past year. In January the bureau stated that it dealt with over eighty thousand debt related enquiries, equating to around seven and a half thousand enquiries nationally. The figures are up by seventy two thousand on last years stated bureau officials.
One spokesperson from Citizen's Advice stated: 'Our bureaux are reporting a continuing increase in the number of debt problems people need help with. The combination of people experiencing increases in fuel bills and rising housing costs puts additional pressure on people's finances which were already stretched to the limit.'
She also added: 'If people have debt problems they must seek help straight away. We cannot stress enough the importance of telling your creditors as soon as you have difficulties in paying – they should treat you sympathetically.'
The debt problems that people have been approaching Citizen’s Advice and the Consumer Credit Counselling Service
with relate not only to loans
and credit cards but also to household bills, council tax, and similar financial commitment that many consumers are unable to keep up with. According to the Consumer Credit Counselling Service, it counseled around twenty thousand people more in the latter part of last year compared to the same period the year before.
27th February 2007
We all like to think of ourselves as fairly responsible and trustworthy people, especially when it comes to financial commitments. But the fact of the matter is that some people are more reliable and responsible than others and banks and other lenders know this.
Is it possible to obtain a loan if you have a poor credit score or even if you've declared bankruptcy? The answer is yes. However, not surprisingly, the loans available will have higher interest rates and restrictions that are more stringent.
If you are considering a loan and you have bad credit, you will be a higher risk than other loan applicants, but what steps can be done to lower this risk?
It is easy for debt to get out of control. Student loans, losing your job, becoming ill or any number of other unforeseen events can easily cause debts to mount up.