IVA applications predicted to rise
Published On 15 January 2008
The number of IVA applications is likely to increase in the coming year, Credit Action has claimed.The national money education charity predicted that 2008 will see people's general financial situation "squeeze" with the cost of credit increasing and also being harder to come by.
Director Chris Tapp said that it would not be surprising if the number of IVA applications went up this year, although he expressed doubt as to the number of people that might be successful.
He explained: "In terms of the figure of people who are actually successful in applying for an IVA, it is slightly unclear what is going to happen. There is a slight change in regulation which means that they are harder to come by, and the banks are also much less willing to grant IVAs then they were a couple of years ago."
According to the Insolvency Service, there were 10,698 IVAs in the second quarter of 2007, a decrease of 15.1 on the previous quarter.
