Bankruptcy ‘becoming more acceptable’
Bankruptcy is likely to become socially acceptable as more people struggle with their finances, a debt expert has said.
A recent study commissioned by debt counselling service Thomas Charles discovered that 15 per cent of Britons now have unsecured debts of at least £10,000.
This has persuaded more people to seek advice about debt solutions, such as individual voluntary arrangements, debt management plans and bankruptcy.
James Falla, director of Thomas Charles, said all three options can be useful routes out of debt, but that bankruptcy can be the quickest solution because it generally only lasts 12 months.
"The bankruptcy option will, I think, become more and more palatable to people. I do agree that the stigma surrounding bankruptcy is becoming less and less," he said.
However, Mr Falla warned that anyone thinking about bankruptcy should be aware there is a high risk that they will lose their home.
The government recommends a number of other solutions for people suffering financial problems, including taking out a debt consolidation loan and ensuring that they claim all the benefits they are entitled to.
You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.