The standard advice for repaying debt is to service the most expensive debt first, so reducing your interest charges. However, sometimes it’s a bit more complicated than that. What if you owe money to friends or family? Should they come before debts to a financial institution? Millionaire Artist ponders on this when deciding how best to use a ’spare’ thousand dollars.
The latest figures show yet another record high for individual insolvencies, with over 26,000 people entering insolvency in the second quarter of 2006 - the highest figureon record, and a leap of 66% compared to the same period last year.
New figures from Alliance & Leicester show that UK consumer debt is falling in real terms for the first time in more than ten years. The report estimates that consumer borrowing, excluding residential mortgages, is growing at a rate of just 1.4% - less than inflation, resulting effectively in reduction of borrowing.
The number of home repossession actions has risen by 22% compared to last year, according to new figures released by the government. The report also shows a rise of 15% between June and October compared to the previous quarter.