Personal Debt Increases in February
The average household debt has reached almost £60,000 new statics show, revealing a rise from last month.
According to new figures released by Credit Action, the average household debt, including mortgages, rose slightly to £57,635 in February from £57,706 in January.
The CAB deal with 8,004 new debt problems each day, a decrease from 9,389, suggesting those who are in debt are not able to pay it off.
The total value of all purchases made using plastic cards today is an impressive £1,153,000,000, while the charity showed every 4.28 minutes someone is declared insolvent or bankrupt in the UK.
The number of people made redundant daily remained high, although it was down from 1,732 to 1,589, and 833,000 people were shown to have been unemployed for more than 12 months.
Banks and building societies write off £24.88 million of loans daily.
Overdrawn on Debit Cards
One in ten UK adults are living permanently in their overdraft, figures revealed by Moneysupermarket showed.
A further 18 million have dipped into their overdraft in the last 12 months, highlighting the increasing problem of those who are struggling to make their income cover their daily living expenses.
Young adults, from the age of 20-29 are the most likely to be in the red with 46 percent of this age group unable to stay in the plus. They are also the group most likely to remain in their overdraft, with 16 percent unable to get out of it.
If you are struggling to make your monthly take-home pay cover your monthly expenses, then a prepaid credit card may be a good tool to help you budget more efficiently.
It is also a good alternative to a credit card for those who have a bad credit rating and have been declined credit, as anyone is eligible for a prepaid credit card.