Friday, October 30, 2009
Debt Consolidation Ireland: Debt Assist: Debt Management Plan Ireland
If you are having trouble paying your loans or have mortgage or credit card arrears Debt Assist can help, our New Debt Management Plan that we have just launched allows our clients complete control over their finances. Through our detailed Financial Plan we put a tight control on what you can afford to pay your creditors. We then review your costs through our affilitates and see were we can save you money in everthing from insurances to your household bills and mobile phone plans. Visit us at www.debtassit.ie or call 1890 87 67 27 to book a consoltation with an advisor and see what help Debt Assist can provide you with.
Debt Consolidation Ireland: Debt Assist: MBNA hike interest rates on struggling customers
Debt Consolidation Ireland: Debt Assist can help people who have fallen behind with mortgage or credit card repayments. If you are having trouble paying loans call us on 1890 87 67 27 or visit us at www.debtassist.ie to book a free consultation.
It has been found that MBNA are raising the interest rates it charges to customers who miss repayments. One customer in Donegal who lost his job and had missed 2 repayments found that the interest he was being charged jumped from 14.9% to 25.9%. MBNA maintain that this loading of a customers interest rate is because they feel the customer is now more high risk and therefore that is reflected in the interest charged. Debt Assist however would feel this is nonsense how can you possibly expect a customer who is having problems meeting repayments at 15% to then go on and pay repayments at 26% almost double the rate they had trouble paying before.
Debt Assist has a track record of helping people in this situation and succesfully getting creditors to freeze interest on debts and any other charges being added thus helping clients pay down the principal of the loan faster. Contact us on 1890 87 67 27 or visist us at www.debtassist.ie and see what we can do to help your situation.
It has been found that MBNA are raising the interest rates it charges to customers who miss repayments. One customer in Donegal who lost his job and had missed 2 repayments found that the interest he was being charged jumped from 14.9% to 25.9%. MBNA maintain that this loading of a customers interest rate is because they feel the customer is now more high risk and therefore that is reflected in the interest charged. Debt Assist however would feel this is nonsense how can you possibly expect a customer who is having problems meeting repayments at 15% to then go on and pay repayments at 26% almost double the rate they had trouble paying before.
Debt Assist has a track record of helping people in this situation and succesfully getting creditors to freeze interest on debts and any other charges being added thus helping clients pay down the principal of the loan faster. Contact us on 1890 87 67 27 or visist us at www.debtassist.ie and see what we can do to help your situation.
Thursday, October 29, 2009
Debt Consolidation Ireland: Debt Assist: Norway 1st European economy to raise rates
Debt Consolidation Ireland: Debt Assist: Can help people who cant pay their loans, are having problems with credit card arrears or mortgage arrears. With Norway becoming the first European country to raise interest rates above 1.5% other economies are sure to follow suit. This will put increased pressure on many families who are already terrified of losing their home. With unemployment raising and house prices falling 1 in 3 homeowners could be in serious trouble with negative equity, meaning that even if they lose their home they still have a sizeable debt to pay off. Raising interest rates will mean the cost of that debt could skyrocket.
At Debt Assist we neogotiate on behalf of our clients with their creditors to freeze any interest or other charges being added to the debt and work out a manageable repayment plan based on what you can actually afford to pay. This payment plan can often lead to a reduction in your monthly payments of up to 50%.
Visit us at www.debtassist.ie and fill out a request a free consultation or phone us on 1890 87 67 27. With our team of Solicitors & Accountants we are in prime position to offer the best service in debt management in Ireland.
At Debt Assist we neogotiate on behalf of our clients with their creditors to freeze any interest or other charges being added to the debt and work out a manageable repayment plan based on what you can actually afford to pay. This payment plan can often lead to a reduction in your monthly payments of up to 50%.
Visit us at www.debtassist.ie and fill out a request a free consultation or phone us on 1890 87 67 27. With our team of Solicitors & Accountants we are in prime position to offer the best service in debt management in Ireland.
Monday, October 19, 2009
The Green Debt Solution
Debt Consolidation Ireland: Debt Assist has learned the Greens are proposing to bring in the IVA system from the UK & N Ireland. This however could create a plauge of copycat firms trying to cash in on the scheme with no regulation.
The new programme for government negotiated by the Green Party includes a commitment to create a formal legal structure for handling personal insolvency outside the courts. This could mean the introduction of UK-style IVAs here. Larry Ryan looks at how this might work. Individual voluntary arrangements (IVAs) were introduced in England, Wales and Northern Ireland (not in Scotland) in 1986 to provide a formal way debt-stricken individuals could handle their debts without encountering the trauma and cost of bankruptcy. Like an examinership for individuals, an IVA is a legally-binding agreement where creditors accept a reduced proportion of their outstanding debt. IVAs are usually taken out by individuals with unsecured debt of more than £20.000. Overdrafts, personal loans, student loans and even Inland Revenue or VAT debt can be included in an IVA, though Revenue bills may be given higher priority than other creditors. Home loans and other debt secured to individual homes may not be included. In the UK, an IVA must be negotiated with a registered insolvency practitioner, who assesses the individual’s income and assets and works out what the debtor can afford to pay back. This is usually calculated over a repayment period of five years, or 60 monthly repayments. The practitioner puts the proposal to a creditors’ meeting, where it must receive 75 per cent approval to be accepted. This 75 per cent is calculated by value of debt, so one large creditor can often prevent an IVA going through. If the IVA is agreed, it becomes legally binding, interest on the debt is frozen and creditors are no longer allowed to contact the debtor. In turn, the individual cannot use existing credit cards or take out further loans. If payments are maintained as agreed for five years, the debt is cleared but details of the IVA remain on the individual’s credit record for a further year. While some IVA specialists boast they can clear up to 90 per cent of debt, 60 per cent is a more realistic level. Last year, there were 37,000 IVAs approved in Britain, with an average write-off of 62 per cent. And many UK banks now demand at least 40p in the pound return to approve an IVA. IVAs are lucrative for practitioners. And many experts are warning that the surge in “Debt Shops” seen in the UK would also happen here, with firms anxious to cash in on stricken individuals. UK financial journalist and broadcaster Martin Lewis says: “The problem is the IVA industry is incredibly profitable. Take out an IVA and companies often make more than £5,000 from it. It’s no wonder they advertise this as an uber-solution with no catches; they make truck loads of cash from selling it.”
Jim Stafford, managing partner with corporate recovery and insolvency specialists Friel Stafford, warns that the lack of regulation in the Irish market could pose a problem. “The UK experience, where all insolvency practitioners are regulated, is that there is extensive marketing targeted at people with consumer debt to persuade them to enter into IVAs. “However, in Ireland where insolvency practitioners are not regulated, I anticipate that redundant bankers and mortgage brokers will set up “IVA shops” and establish strong marketing channels to individuals with consumer debt or tax debt. “Established insolvency practitioners will be unable to compete in the “consumer debt market” with these “unregulated money advisors” due to their higher costs of professional indemnity insurance, training etc. “I can see a two-tier market developing. Established insolvency practitioners will tackle the complex IVAs for business people, whilst unregulated money advisors will tackle individuals with consumer debt issues.”
Debt Assist can help anyone who has credit card or mortgage arrears and is having trouble paying off their loans. Give us a call on 1890 87 67 27 to book a free consultation with an advisor or look us up on the web at www.debtassist.ie
The new programme for government negotiated by the Green Party includes a commitment to create a formal legal structure for handling personal insolvency outside the courts. This could mean the introduction of UK-style IVAs here. Larry Ryan looks at how this might work. Individual voluntary arrangements (IVAs) were introduced in England, Wales and Northern Ireland (not in Scotland) in 1986 to provide a formal way debt-stricken individuals could handle their debts without encountering the trauma and cost of bankruptcy. Like an examinership for individuals, an IVA is a legally-binding agreement where creditors accept a reduced proportion of their outstanding debt. IVAs are usually taken out by individuals with unsecured debt of more than £20.000. Overdrafts, personal loans, student loans and even Inland Revenue or VAT debt can be included in an IVA, though Revenue bills may be given higher priority than other creditors. Home loans and other debt secured to individual homes may not be included. In the UK, an IVA must be negotiated with a registered insolvency practitioner, who assesses the individual’s income and assets and works out what the debtor can afford to pay back. This is usually calculated over a repayment period of five years, or 60 monthly repayments. The practitioner puts the proposal to a creditors’ meeting, where it must receive 75 per cent approval to be accepted. This 75 per cent is calculated by value of debt, so one large creditor can often prevent an IVA going through. If the IVA is agreed, it becomes legally binding, interest on the debt is frozen and creditors are no longer allowed to contact the debtor. In turn, the individual cannot use existing credit cards or take out further loans. If payments are maintained as agreed for five years, the debt is cleared but details of the IVA remain on the individual’s credit record for a further year. While some IVA specialists boast they can clear up to 90 per cent of debt, 60 per cent is a more realistic level. Last year, there were 37,000 IVAs approved in Britain, with an average write-off of 62 per cent. And many UK banks now demand at least 40p in the pound return to approve an IVA. IVAs are lucrative for practitioners. And many experts are warning that the surge in “Debt Shops” seen in the UK would also happen here, with firms anxious to cash in on stricken individuals. UK financial journalist and broadcaster Martin Lewis says: “The problem is the IVA industry is incredibly profitable. Take out an IVA and companies often make more than £5,000 from it. It’s no wonder they advertise this as an uber-solution with no catches; they make truck loads of cash from selling it.”
Jim Stafford, managing partner with corporate recovery and insolvency specialists Friel Stafford, warns that the lack of regulation in the Irish market could pose a problem. “The UK experience, where all insolvency practitioners are regulated, is that there is extensive marketing targeted at people with consumer debt to persuade them to enter into IVAs. “However, in Ireland where insolvency practitioners are not regulated, I anticipate that redundant bankers and mortgage brokers will set up “IVA shops” and establish strong marketing channels to individuals with consumer debt or tax debt. “Established insolvency practitioners will be unable to compete in the “consumer debt market” with these “unregulated money advisors” due to their higher costs of professional indemnity insurance, training etc. “I can see a two-tier market developing. Established insolvency practitioners will tackle the complex IVAs for business people, whilst unregulated money advisors will tackle individuals with consumer debt issues.”
Debt Assist can help anyone who has credit card or mortgage arrears and is having trouble paying off their loans. Give us a call on 1890 87 67 27 to book a free consultation with an advisor or look us up on the web at www.debtassist.ie
Tuesday, October 13, 2009
Debt Consolidation Ireland: Debt Assist: Central Bank feels wages cuts should be on the cards
The Governor of the Central Bank has said retaining wage competitiveness in order to sustain jobs should be the priority, even if this means wage cuts. Professor Patrick Honohan said the Irish wages trend was 'worrying'. He was making his first public address at an ESRI conference on the Budget in Dublin. The Governor told the conference the aim of Government policy should be to restore the structure of the economy to where it was at the start of this decade. Professor Honohan said talks on wages needed to recognise the increased purchasing power of money while prices were falling. He also said there was 'no point in getting distracted' by pointing out inequities in current pay structures. Attempts to fix such inequities and anomalies do not need to get in the way of ensuring that the average real wage structure does not move out of line with that of the indirect competitors for workers in Ireland, namely workers abroad,' he said. Professor Honohan also said that recapitalising the banks would be a costly exercise, and would add to the State's net debt. He said that while a strategy for the banks should minimise the cost to the State in the long term, it would not be wise to 'skimp' on the restructuring, as banks were crucial for sustaining growth.
This could well mean that more people on the edge and battling huge debt could well be pushed over by a further decline in their take home pay. Debt Assist can help anyone with credit card or mortgage arrears or anyone who is finding it hard to pay back personal or car loans, etc. Our team offer a very professional service and have a success rate that makes us Irelands leading Debt Management Company. Give us a call on 1890 87 67 27 or visit us at www.debtassist.ie and book a free consultation with one of our advisors.
This could well mean that more people on the edge and battling huge debt could well be pushed over by a further decline in their take home pay. Debt Assist can help anyone with credit card or mortgage arrears or anyone who is finding it hard to pay back personal or car loans, etc. Our team offer a very professional service and have a success rate that makes us Irelands leading Debt Management Company. Give us a call on 1890 87 67 27 or visit us at www.debtassist.ie and book a free consultation with one of our advisors.
Tuesday, October 6, 2009
Debt Consolidations Ireland: Debt Assist: New Study says 35,000 will be unable to pay mortgage
A New Study has shown that by the end of next year 350,000 people could be in Negative Equity with 10% of these or 35,000 people unable to pay their Mortgages. Debt Assist is uniquely placed to help people who are having difficultly paying their Mortgages. Call us on 0818 333 618 or visit us on www.debtassit.ie to set up a free consultation with a Debt Manager and see how much of a difference Debt Assist can make to your monthly outgoings.
UP to 35,000 people face the prospect of being unable to pay their mortgages by next year, a new study warns. The depressing new findings are contained in research by a State-funded think-tank, which also estimates that up to half of those with a mortgage could be in negative equity if house prices keep falling sharply. Negative equity is where the value of their mortgage is greater than the value of the home.
The numbers in negative equity could climb to 350,000 by the end of 2010, if house prices end up crashing by 50pc, Dr David Duffy of the Economic and Social Research Institute (ESRI) estimates. The economist cites international evidence showing that around 10pc of homeowners in negative equity end up defaulting on their mortgages.
This would mean that 35,000 people could find themselves defaulting by next year.
Homeowners hit by a big income shock like the loss of a job, illness or divorce are most at risk of being unable to meet the mortgage repayments. Dr Duffy said that "negative equity does not necessarily result in mortgage default, although it increases the likelihood of default". People in negative equity who cannot meet repayments should be given help by delaying repayments on their mortgages rather than having their mortgages written off, the think-tank said. This solution would avoid the moral hazard problem, or bailing out those who have made mistakes.
Vulnerable
First-time buyers are more likely than second-hand buyers to have a mortgage that is greater than the value of their house, the ESRI working paper indicates. Also highly vulnerable to negative equity are those who took out their mortgages at the height of the housing bubble in 2006 and 2007. This is especially the case for those who took out 100pc mortgages as they had no deposit, and also the case for those who took out 35 and 40-year mortgages. "First-time buyers are also more likely to have a mortgage, the value of which is higher than the house price. This in part reflects the use by first-time buyers of longer mortgage terms," Dr Duffy said in the paper.
Although most of those who find themselves in negative equity will continue to meet their repayments, people whose house value has crashed will spend less. Negative equity will also dampen down housing mobility, so those who need to move house will be unable to do so. The ESRI study has found that if housing prices fall by 30pc by the end of this year one in three homeowners will end up in negative equity. This will represent almost 200,000 of the 650,000 residential mortgages. But if prices fall by 20pc this year and a further 27pc next year, to take overall prices down almost 50pc, as many as 350,000 mortgage holders will end up in negative equity.
Three-quarters of those in negative equity are likely to be first-time buyers, the ESRI study indicates.
UP to 35,000 people face the prospect of being unable to pay their mortgages by next year, a new study warns. The depressing new findings are contained in research by a State-funded think-tank, which also estimates that up to half of those with a mortgage could be in negative equity if house prices keep falling sharply. Negative equity is where the value of their mortgage is greater than the value of the home.
The numbers in negative equity could climb to 350,000 by the end of 2010, if house prices end up crashing by 50pc, Dr David Duffy of the Economic and Social Research Institute (ESRI) estimates. The economist cites international evidence showing that around 10pc of homeowners in negative equity end up defaulting on their mortgages.
This would mean that 35,000 people could find themselves defaulting by next year.
Homeowners hit by a big income shock like the loss of a job, illness or divorce are most at risk of being unable to meet the mortgage repayments. Dr Duffy said that "negative equity does not necessarily result in mortgage default, although it increases the likelihood of default". People in negative equity who cannot meet repayments should be given help by delaying repayments on their mortgages rather than having their mortgages written off, the think-tank said. This solution would avoid the moral hazard problem, or bailing out those who have made mistakes.
Vulnerable
First-time buyers are more likely than second-hand buyers to have a mortgage that is greater than the value of their house, the ESRI working paper indicates. Also highly vulnerable to negative equity are those who took out their mortgages at the height of the housing bubble in 2006 and 2007. This is especially the case for those who took out 100pc mortgages as they had no deposit, and also the case for those who took out 35 and 40-year mortgages. "First-time buyers are also more likely to have a mortgage, the value of which is higher than the house price. This in part reflects the use by first-time buyers of longer mortgage terms," Dr Duffy said in the paper.
Although most of those who find themselves in negative equity will continue to meet their repayments, people whose house value has crashed will spend less. Negative equity will also dampen down housing mobility, so those who need to move house will be unable to do so. The ESRI study has found that if housing prices fall by 30pc by the end of this year one in three homeowners will end up in negative equity. This will represent almost 200,000 of the 650,000 residential mortgages. But if prices fall by 20pc this year and a further 27pc next year, to take overall prices down almost 50pc, as many as 350,000 mortgage holders will end up in negative equity.
Three-quarters of those in negative equity are likely to be first-time buyers, the ESRI study indicates.
Friday, October 2, 2009
Debt Consolidation Ireland: Debt Assist: Insolvencies up 127% on last year
Debt Consolidation: Debt Assist can help people with credit card arrears and mortgage arrears and who can't pay their loans. The news that insolvencies are up 127% on this time last year shows that the wider population are still having trouble paying down excessive debt. Debt Assist can help manage that debt why not give us a call on 0818 333 618 or visit www.debtassist.ie to arrange a free consultation.
The latest update from Kavanagh Fennell’s online insolvency publication, InsolvencyJournal.ie, shows that there have been 1,094 insolvencies in the first nine months of this year with the firm predicting that this will increase to 1,400 by year end. The number of insolvencies for the first nine months of the year represents a 127% increase over the same period in 2008 during which time 480 insolvencies were reported. When compared to the same period in 2007, it represents a fourfold increase with 250 insolvencies recorded. The findings show that from January to September construction has been the most severely impacted sector as a result of the economic downturn with 324 insolvencies recorded. This is followed by the retail sector with 165 insolvencies and the hospitality sector with 129 reflecting the impact of declining consumer spending. A high number of insolvencies have also been reported in the manufacturing sector (90) and the motor industry (47).
Debt Assist is the market leader for both personal & Business debt in Ireland and with our inhouse team of solicitors and Accountants we are a one stop shop for all queries regarding debt
The latest update from Kavanagh Fennell’s online insolvency publication, InsolvencyJournal.ie, shows that there have been 1,094 insolvencies in the first nine months of this year with the firm predicting that this will increase to 1,400 by year end. The number of insolvencies for the first nine months of the year represents a 127% increase over the same period in 2008 during which time 480 insolvencies were reported. When compared to the same period in 2007, it represents a fourfold increase with 250 insolvencies recorded. The findings show that from January to September construction has been the most severely impacted sector as a result of the economic downturn with 324 insolvencies recorded. This is followed by the retail sector with 165 insolvencies and the hospitality sector with 129 reflecting the impact of declining consumer spending. A high number of insolvencies have also been reported in the manufacturing sector (90) and the motor industry (47).
Debt Assist is the market leader for both personal & Business debt in Ireland and with our inhouse team of solicitors and Accountants we are a one stop shop for all queries regarding debt
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