Major Revaluation of products and services

So: whatever happens in the election there is a real problem in funding the UK, in my view..
There seems to be a gap in the value paid for products and services and income at the moment, a severe revaluation of the most important things can't fail to take place. With everybody worried about paying the bills and large cuts on the way prices can't keep going up. A point will be reached when demand failure starts, this is likely to revalue services and wages in a big way. Austerity is just a word at the moment but it's certainly one step on from the Double Dip recession and I think we've got to go through that first.

Why don't people want to go Bankrupt?

Here at Debtaid we often advise that Bankruptcy is the best solution to sort out Debts in particular cases. Time and time again we are told that the client does not want to go bankrupt but try to repay the debts they have incurred. This is great morally and is far from the "morally bankrupt Britain" we keep hearing about in the media. It does seem strange that our regulators are always asking us to provide the "best way out" in debt management but the public often want to at least try to repay the debt they have.

Prediction correct!

As predicted in my blog on the 15th June http://thoughtondebtmanagement.blogspot.com/2009/06/secondary-wave-of-recession.html
There is beginning to be a shortage of cars. Read the article below for details:
http://news.bbc.co.uk/1/hi/business/8200087.stm

What do you do if you are turned down for an IVA?

Debtaid can help ! Just give them a call (www.debtaid.ltd.uk)

Secondary wave of recession

The patterns of the recession are desperately difficult to predict but with the press starting to suggest the recession is getting better I cannot see this myself.
With the general conditions in the financial markets stabilising this may be the case for the big end of the market but I think in the small end the true force of the recession has yet to wash through.
The general public seem to be cutting back in many areas but I wonder how long it will take for there to be a shortage of for example: cars, as no one seems to be buying them new. A shortage will mean stronger prices for used cars and less people being able to afford them. Maybe not a bad thing in the long run, but I think not everybody is ready for this...

Splitting up caused by debt. Two Birds with one stone.

It always amazes me how many people we help here at Debtaid who have split from their relationship because of the debt they are in.
This cycle of debt gets even worse when both people are living apart because it is so much more expensive to live alone.
In most cases simple advice is all that is needed to sort out the initial debt problem and therefore save the relationship. We ask "would there be a problem without the debt" the answer is usually "no". The gradual build up of debt forces pressures on relationships eventually which can be difficult to control.
The other point people are worries about is being responsible for the partners debt. This is simply not the case and even if they are married those debts remain the responsibility of the individual named on the account.
It's a good feeling to sort out the debt and therefore eliminate the problems in a relationship, and it can all be done very easily in most cases. There are loads of advice lines about including Debtaid (Freephone 0800 0722 332) if this sounds a familiar situation pick up the phone and kill two birds with one stone.

The important things

It is difficult when in debt to weed out the unimportant goals. Focusing on controlling the problem is key to achieving the best outcome.
Allot of people get hung up on gaining an official acceptance while in a debt management plan. While this is a great goal to go for it is not the be-all and end-all. The main aim should be firstly to control the balance so it does not get any bigger.
As long as the interest and charges have been stopped does an official acceptance of any lowered repayment matter? I say not.
It is often necessary to alter your way of thinking when dealing with banks and debts, a harder approach to the actual figures and thinking about how you force banks to do things rather than them forcing you to do things. The banks have been built up as an authority figure in the public's mind but remember they are just a business selling a product.
The public is protected by the Law (generally to the detriment of the Banks) so when a Bank next asks you to do something, think whether you want to do that thing. If you are unsure, get some advice. There is lots of free advice out there, Debtaid Ltd (www.debtaid.ltd.uk) can provide this and there are many more arrears of advice that can and should be looked at.