More individuals set to declare bankruptcy.

Posted 2008-01-4

Experts predict that personal insolvencies are set to increase this year. KPMG forecast a 30% rise in the number of personal insolvencies in 2008. Remarking on the wide reporting of rising debt, James Falla, director of advice service Thomas Charles said:

“Predictions of an increase in the number of people declaring themselves insolvent are likely to prove correct as 2008 progresses. However, it should be acknowledged that personal insolvency can be either bankruptcy, individual voluntary arrangements (IVA) or informal debt management plans.”

While the amount of bankruptcy and IVAs can be accounted for, there is no formal way to measure the levels of debt management plans undertaken.

Price comparison website uSwitch recently suggested debt consolidation as a solution for consumers looking to pay off their debts this year.

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