Online Debt Consolidation

People in Ireland are reducing their debt levels, new figures from the Central Bank have shown. As The Irish Times reports, Irish residents are `significantly` reducing the debt they`re carrying in the form of credit card balances, mortgages and other kinds of debt.

Because of the recession, The Irish Times states, consumers are actually paying off more debt than they`re borrowing, meaning the level of outstanding debt is falling.

For the first time in almost two decades, the annual growth rate in outstanding mortgage debt has actually fallen – partly because stricter lending criteria are making it harder for would-be homebuyers to get a mortgage. More..?

Consumer borrowing in the UK decreased for the fifth month in the row, figures from the Bank of England have revealed although mortgage approvals have increased to their highest level since March 2008.

A total of 60,518 mortgages were approved in November, up from 57,718 on the previous month but consumer borrowing continued to struggle, with borrowing on unsecured loans once again seeing a fall.

Despite a slight increase in credit card borrowing, largely associated with the start of the festive shopping season, a slow take-up of unsecured loans and reluctance to make large purchases meant that people in the UK paid back £376m more than they had borrowed throughout November.

The continued recession has also affected the amount people are saving, with building society members taking out more money than they saved for the ninth month in a row in November.

There was a net withdrawal of £775m, figures from the Building Societies Association (BSA) showed, a figure that was blamed on low interest rates.

“Many may prefer to use their money to pay down debts, finance spending or invest elsewhere,” said Adrian Coles, director general of the BSA.

The number of people remortgaging remained relatively static in November compared with October, at 24,897, the Bank of England said.

This was still down on the average of the previous six months as people continue to stick with their lender’s standard variable rate at a time of low interest rates.

Banks have scored a partial victory over customers trying to avoid their credit card debts after a High Court ruling.

The bank ruling upheld that credit card companies only need a “reconstituted” copy of the original agreement for loans. This means that banks are still able to enforce debts even if the original agreement is missing or has been destroyed.

Thousands of potential cases against banks by claims management companies are now likely to be affected. Many banks face difficulties in obtaining the original agreement, and it has been suggested that at least one major bank has destroyed all of its old credit card agreements.

Judge David Waksman said: “It seems to me to be likely that the number of challenges…

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People who are worried about their debt problems, unemployment or housing issues can now turn to a new NHS Stressline for advice and guidance.

Amid concerns over mounting debt related problems including credit card debt and missing payments on home loans, the NHS has launched the new helpline to offer support from trained health advisers.

Concerns have been raised over the mental welfare of people due to the number of people suffering from anxiety, stress and depression related to financial problems. The helpline will direct such people to a wider support network to make sure that the problems do not escalate.

It is estimated that a quarter of people with mental health problems will be in debt, but a third will not ask for any help.

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