Petrol is often referred to as ‘black gold’ and it’s not hard to see why given the current price of petroleum. The sudden increase in petrol costs is causing debt nightmares and many will utilise an IVA to tackle financial arrears.
The use of individual voluntary arrangements (IVA) is set to skyrocket in 2008 as many people's debt management capabilities reach breaking point. One of the key catalysts in the rapid increase in the debt crisis is the cost of commodities; petrol being the most notable amongst them. According to a report in the Daily Mail, the price of petrol rose 5p a litre in a matter of 48 hours, which led to reports of profiteering amongst petrol stations amidst fears of a petrol shortage. Making ends meet is difficult enough for those in debt as it is and such increases in costs of living can often have a profound affect on finances.
IVA – Drivers Hit In The Wallet
According to the report in the Daily Mail, the cost of filling up a typical family car is £54.37, which represents an £8 rise on the same time last year. The average price of unleaded petrol currently stands at £1.09 a litre and diesel a staggering £1.18 a litre. These astronomical price hikes are be mirrored in most walks of a consumer's daily life and invariably causing debt management nightmares for those who are already experiencing a financial headache. The general economic malaise that grips the UK is plunging more and more into an overwhelming sea of debt and many will utilise an individual voluntary arrangement (IVA) in order to structure their debt management problems and scale their mountain of financial arrears. An IVA is a legally binding arrangement that is formulated to be agreeable to all parties, so, it is at a level that is financially achievable for the debtor and in a time frame that is acceptable to the creditors.
IVA – Forecourt Fallout
The rapid increase in petrol prices is leading motoring experts to warn drivers not to fall victim to profiteering. Speaking to the Daily Mail, Brendan McLoughlin of PetrolPrices.com states, "The mere threat of closure has pushed both oil and petrol prices to record highs across the country. The worst thing drivers can do is go out and fill up. Panic buying will only increase the chance of shortages and push prices further toward £1.50 a litre." When it comes to debt management, paying over the odds for commodities is, of course, likely to compound the problem but many who are suffering from crippling debts are finding an individual voluntary arrangement (IVA) is successfully ascending them from their pit of debt whilst avoiding the negative consequences of bankruptcy.
Speak to Varden Nuttall About An IVA
Varden Nuttall has been established for over 15 years and is dedicated to helping people in financial difficulty find a debt management solution through an Individual Voluntary Arrangement (IVA). Employing 90 people, including trained and skilled IVA administrators, we are one of the largest IVA companies in the UK and handle over 3% of all IVA applications. To find out more about the company, or to make an appointment to talk about putting an IVA in place, call us today on 0870 977 8100 or fill in our online enquiry form.