Millions in debt crisis to be helped by two-month 'breathing space' - MSE News

Former_MSE_Naomi

New rules which will give people struggling with problem debt a grace period of 60 days to get their finances back under control are set to help millions, according to new estimates published by the Government...

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'Millions in debt crisis to be helped by two-month 'breathing space''

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sourcrates

Well its a step in the right direction, however not many debt problems can be dealt with in 60 days, people do tend to be reluctant to get help, how many times do we see on this forum the words "I stuck my head in the sand".

It also depends if its just a minor blip, which might be brought back under control with a little help, or a full on crisis that requires intervention.

I would like to have seen the "breathing space period" extended to six months, as per Martins campaign, that would have been more beneficial to the debtor, but i expect the debt collection industry would have been up in arms over that, as there profits would suffer somewhat, and i suspect pressure from there trade body has influenced today's decision in no small way.

WhenIam64

I would like to have seen the "breathing space period" extended to six months, as per Martins campaign, that would have been more beneficial to the debtor, but i expect the debt collection industry would have been up in arms over that

Doubt it. There would be a one-off hit to cash flow (as there will be this time round) but the computers will just get back to normal after the extension.

As you point out, whether it is 30, 180 or 360 will make no difference to those that can't pay. And those that won't pay will just use the time to spin it out.