Home » Finance » Personal Finance

Residents In Cardiff Facing 'Unsustainable Debt Difficulties'

Nov 8, 2007
Consumers in Cardiff are increasingly struggling with their finances, it has been suggested.

In statistics released by the Insolvency Service, a record 410 individual bankruptcies were filed in the Welsh city and the Vale area over the course of July and September. This figure is also some three times higher than the level of bankruptcies applied for in the same region some 15 years ago, during which time the Conservatives were in power. As a result, it appears that many residents in the region are developing ever greater difficulties in meeting repayments on home loans, credit cards and additional types of borrowing, in addition to other areas of financial demands such as utility bills and rent costs.

Commenting on the figures, Jenny Willott, Welsh Liberal Democrat MP for Cardiff Central and spokesperson for the party on youth affairs, claimed that the Labour party must do more to help people manage their finances effectively, which could help them to improve their ability to service secured personal loans and other demands on spending. She said: "The last quarter is the first time ever that more than 400 bankruptcies occurred in a single quarter in Cardiff and the Vale. Every year, people in Wales spend around 3.7 billion pounds just servicing the interest on their debt. Total national personal debt is now 164 per cent of people's disposable incomes."

Ms Willott went on to assert that the financial situation Cardiff and the Vale presently faces is "unsustainable". According to the MP, the "shockingly high" number of those struggling to make repayments on loans and other types of borrowing is due to "the growing debt time bomb" Labour is alleged to have allowed to build up over the past decade. As a result, she suggested that there needs to more stringent checks on the part of loan lenders when it comes to issuing credit as, "if it continues to remain unchecked, many more will be pushed over the edge into bankruptcy and many others will be facing endless financial misery servicing the interest on debts that they simply cannot pay off".

In addition, Ms Willott asserted that the government needs to implement "serious simplification" to its benefits system. By doing so the Welsh Liberal Democrat MP stated that this would reduce levels of error and fraud, as well as help to make sure those households on the lowest incomes are able to claim all the money that they are entitled to.

As a result of filing for bankruptcy after becoming unable to pay back loans, it is possible that consumers could find their financial file is damaged, which in turn could impair their access to cheap loans and other types of borrowing. However, for those who are confident that they will be in a position to meet demands for payment in the future, taking out a bad credit loan is one possible option. Such a form of borrowing could be particularly helpful for those in Wales struggling with money. Earlier this year, research conducted by BBC Wales showed levels of property repossessions in the region during the first half of 2007 stood at their highest rate for some eight years.
About the Author
Steve Smith writes for 1 Stop Finance Shop. A one stop shop for all your loan requirements, from payday loans, to secured personal homeowner loans, and UK tenant loans.
Rating:
Please Rate:
(Average: Not rated)
Views: 154
Print Email Report Share
Article Categories
    • Artists
    • Gambling
    • Humanities
    • Humor
    • Movies
    • Music
    • Photography
    • Tattoos
    • Television
    • Classic Cars
    • Motorcycles
    • Recreational Vehicles
    • SUVs
    • Trucks
    • Vans
    • Branding
    • Business Opportunities
    • Careers and Jobs
    • Corporate
    • Customer Service
    • Direct Mail
    • Entrepreneurship
    • Ethics
    • Financing
    • Franchising
    • Home-Based Business
    • Human Resources
    • Import and Export
    • Leadership
    • Management
    • Market Research
    • Marketing and Advertising
    • Negotiation
    • Network Marketing
    • Networking
    • Organizational
    • Presentation
    • Project Management
    • Public Relations
    • Small Business
    • Strategic Planning
    • Team Building
    • Telemarketing
    • Training
    • Data Recovery
    • Databases
    • Games
    • Hardware
    • Networks
    • Operating Systems
    • Programming
    • Security
    • Software
    • Spyware and Viruses
    • Ask an Expert
    • College and University
    • Home Schooling
    • K-12
    • Languages
    • Online Education
    • Psychology
    • Coffee
    • Cooking
    • Gourmet
    • Recipes
    • Wine and Spirits
    • Acne
    • Aerobics
    • Alternative Medicine
    • Beauty
    • Cancer
    • Cosmetics
    • Depression
    • Diabetes
    • Diseases and Conditions
    • Fitness Equipment
    • Fitness
    • Hair Loss
    • Heart Disease
    • Medicine
    • Men's Health
    • Muscle Building
    • Nutrition
    • Skin Care
    • Supplements and Vitamins
    • Weight Loss
    • Women's Health
    • Yoga
    • Arts and Crafts
    • Babies
    • Collecting
    • Elderly Care
    • Genealogy
    • Hobbies
    • Parenting
    • Pets
    • Pregnancy
    • Woodworking
    • Feng Shui
    • Gardening
    • Home Appliances
    • Home Security
    • Interior Design
    • Landscaping
    • Affiliate Programs
    • Article Marketing
    • Auctions
    • Audio
    • Banner Advertising
    • Blogging
    • Broadband
    • Domain Names
    • E-Books
    • E-Commerce
    • Email Marketing
    • Ezines and Newsletters
    • Forums
    • Internet Marketing
    • Link Popularity
    • Pay-Per-Click
    • Podcasting
    • RSS
    • Search Engine Marketing
    • Search Engine Optimization
    • Security
    • Social Media
    • Spam
    • Video
    • Viral Marketing
    • Web Design
    • Web Development
    • Web Hosting
    • Copyright
    • Cyber Law
    • Intellectual Property
    • National, State, Local
    • Patents
    • Regulatory Compliance
    • Trademarks
    • Buying
    • Selling
    • Baseball
    • Basketball
    • Boating
    • Cycling
    • Extreme Sports
    • Fishing
    • Football
    • Golf
    • Hockey
    • Hunting
    • Martial Arts
    • Running
    • Scuba Diving
    • Soccer
    • Swimming
    • Tennis
    • Dating
    • Divorce
    • Marriage
    • Weddings
    • Astrology
    • Buddhism
    • Christianity
    • Faith
    • Hinduism
    • Islam
    • Judaism
    • Meditation
    • Metaphysical
    • New Age
    • Cable and Satellite TV
    • Cell Phones
    • Communication
    • Gadgets and Gizmos
    • GPS
    • Satellite Radio
    • Video Conferencing
    • VoIP
    • Addictions
    • Coaching
    • Goal Setting
    • Motivational
    • Stress Management
    • Time Management
    • Clothing
    • Electronics
    • Fashion
    • Gifts
    • Jewelry
    • Causes and Organizations
    • Environment
    • History
    • Holidays
    • Men's Issues
    • Nature
    • Philosophy
    • Politics
    • Women's Issues
    • World Affairs
    • Air Travel
    • Camping
    • Cruises
    • Destinations
    • Outdoors
    • Article Writing
    • Book Reviews
    • Copywriting
    • Fiction
    • Non-Fiction
    • Poetry
    • Quotes
    • Screenplay
    • Tools and Resources