Financial Favourites

Worrying news from the BBC:

Bad credit card debts may reach as much as 9% of all outstanding balances by the end of next year, an accountancy firm has said.

“Bad debts in the sector have reached historic highs,” according to PricewaterhouseCoopers (PwC). The figure stands at about 6% now.

This comes despite a “cooling passion” for credit cards, with borrowing down 3% to £64bn in the past year.

The number of credit cards in circulation has fallen by 8%, it said.

Full article: http://news.bbc.co.uk/1/hi/business/8349153.stm

News from the BBC:

A record number of people were declared insolvent in England and Wales in the third quarter of 2009, according to figures from the Insolvency Service.

There were 35,242 personal insolvencies, up 28% from the same period last year and an increase of 6.6% on the previous three months.

This extended the record number which was reported earlier this year.

But there was better news for business, with 4,716 company liquidations, down 4.7% quarter-on-quarter.

However, the number of businesses in England and Wales going bust in the third quarter of the year was still 14.6% higher than the same period a year ago.

http://news.bbc.co.uk/1/hi/business/8346170.stm

Debt is a national problem, it causes stress and suffering for millions of people who have to live their lives in poverty being chased by lenders and harassed by debt collection agencies.

There is an alternative, a way to become debt free;  Debt Management is a service where a company takes control of your debts, talks to your creditors and pays your bills for you, while you just have to pay them a set monthly fee.

Debt Management can be better than a consolidation loan as it isn’t more finance, but a set program there to help you.