(PRWEB) August 3, 2007
IVAs - Individual Voluntary Arrangements have been growing considerably in recent years. A few years ago IVAs were being arranged at a rate of around 2,000 a quarter. This has now grown to more 13,000 a quarter. The number of Insolvency Practitioner (IP) firms in the U.K has also increased to 600 supporting over 1,600 individual practitioners.
Debts.co.uk plc, who wholly own The Debt Counsellors, outperformed the market despite these challenges, as reported by the Financial Times on the 2nd of August 2007 - FT.com
The Debt Counsellors are one of the only major individual voluntary agreement specialists not to have warned on profits this year, despite turmoil in the sector.
IVAs are now reducing £2.2bn of debt each year! The rapid growth has resulted in lots of inefficiencies that add significant cost to the process, increase losses for creditors and restrict the accessibility of IVAs for debtors and ultimately make it more difficult for these debtors to get the best advice.
Some lenders are using their knowledge of people's financial troubles to push them into loans when often an IVA is the best solution to their problem! Some are refusing to approve individual voluntary arrangements which are an alternative to bankruptcy when part of a person's total debt is written off.
Recent uncertainty due to the agreements between creditors and IVA companies over fees for IVAs has made consumers uncertain. However, recent meetings between IVA firms, creditors and the British Banking Association (BBA) look set to resolve this uncertainty very soon which we will report on in due course.
The Debt Counsellors offer free, confidential advice on all types of personal debt.
To be Debt Free in 36-60 months, please call: 0800 018 6018 or visit http://www.debtcounsellors.co.uk