Personal Debt Crisis In the UK - Essay Example

Only on StudentShare

Extract of sample
Personal Debt Crisis In the UK

Seeing how things have gone south economically worldwide, one can only hope that governments, the global financial industry and more importantly, the private individual had better get their acts together. Citizens Advice Chief Executive David Harker cited the CAB statistics as "worrying evidence" that a large and growing number of people will continue to pay the price, and will become overwhelmed by serious debt impacting adversely on their lives. He further stressed that even more worrying are the "signs that people are struggling not only to repay credit, but also to afford day-to-day essentials" (CAB, 2007).
According to a study that analyzed the impact of debt advice in the UK, there seemed to be three different types of debt that can be attributed to the following causes: changing circumstances, poor money management, and creditor behaviour. Changing circumstances typically included unemployment or a change in employment, illness, bereavement and/or separation from a partner. Although the factors which brought about these changes varied, the changes were commonly interlinked and their effect was generally the same: the difficulty interviewees experienced having to manage on a reduced income caused them to fall into debt or exacerbated an existing debt (Pleasence, P. et. al, 2006). ...Show more


If the number of "how-to-get-out-of-debt" inquiries at the Citizens Advice Bureau were any indication of how bad the personal debt problem had become in the UK, then one can infer how gloomy things have become. Based on its tally, the bureau received 20% more enquiries from people in debt between 2006 and 2007 than the previous year…
Author : candidolynch
Save Your Time for More Important Things
Let us write or edit the essay on your topic
"Personal Debt Crisis In the UK"
with a personal 20% discount.
Grab the best paper

Related Essays

The Impact of the Eurozone Crisis to Non-Member Economies: The Case of the UK
The UK is an example of the EU nations outside the Eurozone, but the impact of the Eurozone crisis currently witnessed does not appear to be selective. Contagion impact fast catches up with the UK and as the recessionary impacts continue to threaten smaller economies in the Eurozone, bigger economies outside the Eurozone cannot feel safe anymore.
14 pages (3500 words) Essay
Debt Crisis
Ultimately, cheap credit was easily available to banks for borrowing. Details of the Crisis Shadow Banking comprises of financial institutions such as investment banks which do not come under the category of commercial banks and hence were not regulated by the US federal government.
4 pages (1000 words) Essay
Critical Review-EU Sovereign Debt Crisis
From $36 trillion in 2000, the income from the fixed income securities rose to around $70 trillion in 2007. The funds offered lucrative returns which were even higher than the US treasury bonds in the global financial markets. Due to the high turnover of the fixed income securities in the global financial markets, the lenders overlooked the government regulation in order to tap the exorbitantly high returns from the investments and the borrowers flowed in excessively to avail such loans that did not demand adherence of strict credit parameters.
3 pages (750 words) Essay
The Banking Crisis in the UK and the US
2008). Obviously a sudden crash of this nature will compel the experts to question the fundamentals of the business framework whereby auditing forms the critical part of it. The primary task of external public auditors is to carry out fair value assessments of the accounting statements and assess the risks of the banks by getting deep into their credit & liquidity risk management framework and raise alerts as applicable.
11 pages (2750 words) Essay
The International Debt Crisis
The countries in Latin America were mostly third-world or developing nations and required huge amounts of capital to restructure its economy or improve its infrastructure and other facilities. There were certainly not enough resources available to them to generate such huge amounts of capital causing them to rely on foreign capital for development.
5 pages (1250 words) Essay
State the different steps involved in a confirmed documentary letter of credit, with payment terms of ninety days sight. Then compare and contrast documentary collections and documentary letter of credit.
After the buyer’s bank approves the credit risk associated with the buyer, the bank ensures that the credit reaches its correspondent bank which has the responsibility of advising or confirming the request (Azar & Abdallah, 2015). It is the advising bank which then declares
2 pages (500 words) Essay
Find out how much would it cost
to get a custom paper written by a pro under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger
Your email