Debt Repayments Falter: Budget with a Prepaid Debit Card
Debt repayment rates have slowed down, the latest report into the nation’s savings habits reveals.
The Savings Brake report from Unbiased revealed Brits’ savings have reached an annual high of over £21 billion but debt repayment levels are not as high as they have been.
If you need extra help to budget your outgoings try using a prepaid debit card to prevent overspending.
The third quarter of 2010 showed Brits are repaying 10p of debt for every pound they save - this amounts to a total of £2 billion of debts being paid off in the last quarter.
However this figure is lower than the 18p in the second quarter and 27p in the first quarter of the year.
“Brits borrowing and savings habits appear to be in a state of flux – along with the overall financial economy – along with the overall financial economy,” commented Karen Barrett, unbiased chief executive.
“It is encouraging to see debts are still being repaid, even if this is not at quite the same volumes as previously in the year.”
Prepaid Debit Cards
It may be harder to find the money to pay back debts around this time of year due to the many presents you feel obliged to buy.
However it is important to remain on track if you have a repayment plan and a good way to prevent overspending this Christmas is to use a prepaid money card UK.
The card does not allow the user to spend over the amount he or she loaded onto the card unlike a credit or debit card.
Once the funds are loaded onto the card the user can use it to make purchases online, in shops or to retrieve cash from ATM machines.