Car production down in the UK | Chiltern Debt Management

According to figures released by SMMT (the Society of Motor Manufacturers and Traders) the number of new cars built in the UK, last month, has fallen dramatically. New car production was down by nearly 50% from the same period in December 2007, as factories were closed over the Christmas period.

Average car production over 2008 was down by only around 6% over the previous year, which was largley due to a strong start to the year.

The fall in car production has resulted from a sharp decline in new car sales, since the onset of the credit crunch. Rising unemployment, personal debt problems and the lack of available finance have caused an 11.3% fall in new car sales last year.

Consumers are now more likely to be searching for a job, or seeking debt advice than they are to be found in their local car dealership, buying the latest model. The number of people requiring debt help has increased as quickly as the number of new car sales has declined. Experts believe that 2009 could be a record year for consumers entering an IVA or a Debt Management Plan.

Fees & Information

We cannot guarantee a reduction in interest or charges. If an IVA is not maintained it could lead to bankruptcy. Whilst initial debt advice is free, fees will be charged if a solution is taken out.

Fees related to Debt Management Plans are in two parts;

"Initial Fee" means your first two "Monthly Payments", which is paid by You to "Us". This represents our fee for establishing your arrangement, and therefore is not distributed to your creditors, and can be paid in two separate instalments. Retention of this fee will put you into further arrears.

"Monthly Fee" means the Fee payable for our Services each month. This is an amount equal to 17.5% of your "Monthly Payment" (apart from your first two "Monthly Payments" which is the "Initial Fee"), subject to a minimum payment of £30 for disposable incomes of 0 - £100, and £35 for disposable incomes of £100.01 - £200.

Fees incurred for Individual Voluntary Arrangements are variable dependent upon the monthly contribution to the arrangement and the agreement that is reached with your creditors. Fees are made up of Nominees fees relating to assistance given to prepare your proposal and Supervisor fees which relate to the ongoing monitoring of your IVA. Fees are already included as part of your monthly contribution. The level of fees and the method of payment are both agreed by your creditors at the outset of the arrangement.

A record of your agreement with us will be held on your credit file for up to six years, and your ability to obtain credit in future may be affected.

You are provided a cooling off period of fourteen days from the date the agreement was deemed to commence, during which you may cancel our agreement. Should you give notice to us that you would like a refund of a payment, or payments, (being other than the initial fee) then where no distributions have, at that time, been made by us, or are in the process or course of being made by us, in respect of that payment or payments this will be made in full (i.e. without deduction of our fee of 17.5%).