Giving the Breathing Space to deal with debts
People struggling with their debts are being given Breathing Space with the introduction of a Government-backed initiative.
Citizens Advice Caerphilly Blaenau Gwent (CACBG) has welcomed the launch of Breathing Space. The new scheme will help people in temporary financial difficulties recover from debt.
Debt Service Manager Keith Thorne explained that people who ask for help from a qualified debt adviser will benefit.
He said: “People must be working with a registered debt adviser, such as our team here at CACBG to access the help. During the 60 day Breathing Space, interest and enforcement action will be frozen to give advisers time to work with the individual in this time to help plan a way forward.”
The Breathing Space Impact Assessment estimates that the initiative will help around 700,000 people in the UK in one year. Of this, more than 25,000 people who are experiencing a mental health crisis are set to benefit.
“What we find is that the more they use credit and finance to try and juggle the debts,” said Keith. “The more debt they find themselves in and the more harm caused. Breathing Space is not a payment holiday. The scheme is being introduced, to help more people receive the debt advice that they need to access an appropriate solution for their debts and get back on track.“
Breathing Space aims to encourage people to ask for help. When they do, there are better protections in place to stop the debts from increasing as they start to cope again.
Keith said: “For those needing support and assistance with their debts, Breathing Space provides people with the time needed to access this without the additional pressure of creditor contact. This 60-day guarantee should offer those in debt the assurances they need to ask for support, rather than delay and let things spiral out of control. There is additional support available for those suffering a mental health crisis. Our Debt Advisers are ready to help guide you in the next step.”
For more information on Breathing Space and how to access the support call 08082 702 2020.
