Debts Burden 3 Days a Week Pay
The first three days of the week for many indebted Brits goes simply towards paying off outstanding debts, new research shows.
Research conducted by the Consumer Credit Counselling Service (CCCS) revealed the average person seeking help from the UK’s leading debt charity has to work until 4pm on Wednesday each week, just to earn enough to repay their unsecured debts.
The rest of the working week is then what the average debtor uses to pay for what they need fund basic living costs, and this includes managing mortgage repayments.
The Charity’s figures reveal 418,000 people contacted them last year for help on their debts – highlighting the pressure those with a mortgage are under to meet living costs and other debts.
“With rising prices continuing to push up the cost of living, household budgets are under increasing pressure – and these figures show how difficult it can be to escape from debt once it builds up,” said Delroy Corinaldi, CCCS external affairs director.
“Our advice to anyone struggling to cope with their repayments is to seek free advice as early as possible.”
In 2010, the CCCS calculated the average person who contacted them owed a total of £22,476 on credit cards, personal loans, overdrafts and other types of unsecured debt – they face a monthly bill of £675.52 to meet these payments alone.
This figure makes up 58 percent of the average CCCS client’s earnings of £1,173.23 a month after tax.
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The latest debt statistics from Credit Action show the CAB deal with 9,498 new debt problems each working day.
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