Divorce Causes Emotional And Financial Strain

Single parents and people who are divorced or separated are particularly vulnerable to bankruptcy, insolvency and other problems associated with serious debt, say debt help experts The Debt Counsellors following analysis of their Annual UK Debt Survey 2006.

The Debt Counsellors Annual UK Debt Survey 2006 has shown that single parents and people who are divorced or separated are particularly vulnerable to bankruptcy, insolvency and other problems associated with serious debt.

The survey, undertaken by debt help experts The Debt Counsellors, polled people seeking help for their serious debt problems. When asked as to the main cause of their debts, 8% blamed separation, 6.8% said it was being a single parent while 3.6% cited divorce.

Of the people who blamed separation, 67.5% had debts of between £10,001 and £50,000 and 8.6% owed more than £50,000, putting them at high risk from insolvency and bankruptcy.

Similarly, 64.6% of those who blamed divorce owed between £10,001 and £50,000 and 17.7% had debts over £50,000.

Of those who blamed being a single parent 50.7% had debts between £10,001 and £50,000 and 2.8% owed more than £50,000.

John Porter, a senior counsellor with The Debt Counsellors, says the high level of debt shows how much of a risk bankruptcy and insolvency is for single parents and those who have experienced divorce or separation.

Porter said: "As many as 18.4% of those seeking help for their debts blamed their problems on the fact they were either divorced, separated or single parents, and the sheer level of the debts involved shows there is a risk of serious problems and bankruptcy for people in those situations."

However, Porter insists that there are debt solutions available as well as ways of avoiding bankruptcy.

Porter said: "Even in serious cases bankruptcy can sometimes be avoided but it is imperative that people struggling with their finances get professional debt advice.

"The Debt Counsellors offer free, confidential debt counselling and provide information and advice on the various options available according to the individual situation."

For more information on avoiding bankruptcy, visit Debtcounsellors.co.uk.