Debt problems in Nottinghamshire predicted to get worse warn Baines and Ernst

December 22, 2010 (PRLEAP.COM) Business News
Baines and Ernst, one of the UK's largest providers of debt solutions, has warned that personal debt levels are set to rise across the UK over the coming 12 months. New statistical data from the business, which specialises in setting up Debt Management Plans and Individual Voluntary Arrangements (IVA) with creditors on behalf of overindebted consumers, shows that in Nottinghamshire the average unsecured debt levels increased by 9.41% when comparing Quarter 3 to Quarter 2 of 2010.

Commenting on the new figures, Nick Pearson, Director of External Affairs, from Baines & Ernst said "Unmanageable personal debt is already a major problem for many households in Nottinghamshire. Nationally, it is estimated that average unsecured household debt is £8,590 (excluding mortgages) rising to £29,929 when including mortgage debt (Credit Action/ October 2010). The fact that Unsecured and Secured debt levels in Nottinghamshire are increasing will add to their woes"

Figures published by "Credit Action" showed that across the UK 1 person every 52 seconds of the working day is declared bankrupt or insolvent and over 100 homeowners are being repossessed by their mortgage lender every day. As a result it has been calculated that lenders write off over £38m a day in bad debt.

Pearson continued that "given the likely impact of the recent Coalition Government Comprehensive Spending Review on employment, with some half a million people expected to lose their jobs as a result of spending cuts, we believe that the number of people with debt problems is likely to increase rapidly over the next 12 months. Added to this any rise in interests rates will also be a trigger for repayment problems for many homeowners who have become used to paying their mortgage at historically low interest rates."

About Paymex Group:

- Founded in 1996 as Baines & Ernst, Paymex Group Ltd is one of the UK's largest and longest established providers of debt solutions;
- Helped over 140,000 people to get their finances under control;
- Nearly £1bn of unsecured debts under management
- Member of the Debt Resolution Forum and the Debt Managers Standards Association. Baines & Ernst as a member of DEMSA has demonstrated compliance with the Office of Fair Trading Approved Code of Conduct scheme;
- Committed to the ethos and ethics of Corporate Social Responsibility (CSR) and is a member of the charity Business in the Community;
- Paymex have adopted the FSA's Treating Customers Fairly principles throughout the business.
- Paymex were winners of the "Debt management provider of the year" 2010 at the Insolvency and Rescue Awards. One of the specialist advisors from the Baines and Ernst Debt Relief Order Team was named as "Debt Adviser of the Year" at the 2010 "Credit Today" magazine awards
- Baines and Ernst are part of the Paymex Group - Winners "Debt Management Provider of the Year" at the Insolvency & Rescue Awards 2010.

For further information contact

Nick Pearson
Director of External Affairs
Paymex Group
Lloyds House
18-22 Lloyd Street
M2 5BE

Telephone: 0161 216 8107
Mobile: 07958 741 267
Fax: 0161 216 8215