Credit Crunch Leads To Bumper Time For Legal Profession

Over recent months, there has been a significant increase in the requirement for solicitors and fee earners who specialise in dealing with matters relating to debt recovery, bankruptcy and repossessions. It is felt that this is as a direct result of the downturn in the property market along with the ‘Credit Crunch’, which is currently affecting many individuals.

Higher interest rates, rising food bills, not to mention increased fuel prices are forcing consumers into severe debt problems. The Citizens Advice Bureau in England and Wales have dealt with 215,000 new debt problems during the first three months of 2008, 35 per cent up compared with the same period last year. The FSA recently warned that as many as 1.4 million home owners might struggle to meet mortgage repayments over the coming months, the result of which is inevitably going to lead to repossessions on a massive scale.

In seeking to recoup homeowner debts, the main banks, credit companies and financial institutions are turning to legal practices in order to chase monies owed and recover debts. At Sellick Partnership, our practice clients are turning to us to find short, medium and long-term solutions, as they struggle to meet the extra demands being placed on their litigation and debt recovery teams. We placed 40% more solicitors and fee earners into these practice areas in the first quarter of 2008, when compared to the same period last year and this trend is expected to continue whilst there is uncertainty with the markets and people continue to struggle financially.

If you are a fee earner and have a background in any of these practice areas, or are from a law practice hoping to recruit in any of these areas, we would be very pleased to hear from you.