What can be done now insolvency figures have reached an all time high?
November 6, 2009 | Leave a Comment
Official figures relased by the UK government for this week relating to the third quarter of the year show insolvancy figures to have reached an all time high. This news should hardly surprise us considering the numbers of people who were cheerfully swaping zero interest credit card deals as a means of managing debt and avoiding the inevitable. The credit crunch has a noosehold on this approach as more and more people try to borrow their way out of debt. Add to that the pressure of recession led redundancies and reduced household income and insolvancies are bound to increase.
So what is the extent of insolvancies now in the UK?
In the three months to he end of September, the Insolvancy Service repos that 35,242 people became insolvent. This represnts a 7% increase on the previous quarter and 28% on a year ago. In the same time period, just over 4500 businesses went into liquidation. However, despite these high figures, there is evidence of these statistics slowing down compared to the increases of the second quarter of the year.
What options are open to me if I might be close to insolvancy?
Dealing with insolvancy means examining your situation on several levels:
1. It may be that, by changing how you spend your money, that you can regain control of the situation and avoid insolvancy. Living on a Dime is a great little set of inexpensive books that take the reader through the steps to settle debts, manage money and to live and cook frugally. The tips you’ll pick up from this book will more than cover its cost in just a few days if you put them into action.
2. If you have developed spending patterns that are drawing you deeper into debt with accumulating posessions and enjoying holidays etc then are you left with that hollow feeling of despair that not being able to pay for it all brings? If this rings bells then Christian Financial Freedom offers sound and reliable advice to liberate you from these behaviours.
3. If you are really feeling that insolvancy is a real risk, the acclaimed book Eliminate Debt Fast without Bancruptcy or Debt Consolidation is well worth a read. Nobody wants the humiliation of insolvancy proceedings so to have the guide that will take you though the highly effective and discreet steps of negotiating and implementing debt resolution as quickly as possible is a great asset.
These are the three key resources that Credit Crunch Helpdesk recommends to its readers for assisting to manage finances and resolve debt in the recession and its aftermath.
