Another warning from a major financial company about the level of insolvencies, this time from advisors Grant Thornton. They are expecting over 30,000 people to go bankrupt or enter an IVA in the first three months of 2007, 10,000 of which will be as a direct result of overspending at Christmas. The months following Christmas are traditionally the busiest time for insolvencies, and they are expecting this year to be the busiest yet.
Struggling with debt because of a change in circumstances - unemployment or illness, for example - is one thing, but to become insolvent simply by overspending is just reckless. The question is, should the lenders bear some of the responsiblilty for lending to people who are already struggling with their debts?
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