With over 130000 (134142) people becoming insolvent last year, anti-poverty organisations have pleaded with MPs to be fair with future tax rises and spending cuts. If low income families are further hit by these financial burdens, more will be forced to seek debt solutions, such as DROs or IVAs. IVAs are a useful form of debt management for people with unsecured debts in excess of £15000. As long as they have a disposable income of at least £200 and three quarters of their creditors agree to the IVA, they could be debt free in five years. The Equality Trust has asked the politicians to make sure that tax rises are aimed more towards those who can afford them. If this is not done, the parties may fail in their pledge to end infant poverty, according to the Child Poverty Action Group.
Deficit cut leads to greater debt worries
May 5, 2010 By
