Further pressure on trust deed budgets as some costs continue upwards

The price of food has increased 1.2% in a single month between March and April 2011. Dairy products, eggs and fruit were amongst the items that increased by he highest margin. There has been a recent increase in the food budgets accepted by creditors when reviewing a trust deed (though not necessarily used by all trust deed providers) which should help to cover this.

Around 4 in 10 food purchases are now items on some kind of “special offer” as the supermarkets compete for our custom and as we try to reduce our expenditure.

Some other goods, including clothing, have fallen in price which may bring some relief to those operating on fixed incomes and fixed budgets.

Retailers are seeing sales go into a fairly steep decline. Experts believe that many households simply aren’t in a position to spend on “discretionary” items as more and more of their income is consumed by the cost of essentials.

If you’re considering starting a protected trust deed it has never been more important to select a company that will work out your contribution in a realistic way. Agreeing to a high trust deed payment that is unsustainable is likely to solve one problem only by creating a new one for you.

Tags: food budget, protected trust deed, trust deed, trust deed payment