Industry reports reveal that household debt is way up in the United Kingdom and this represents a sharply negative landscape in personal finances. According to current statistics, the average amount of debt currently owed in the UK is nearing 60 thousand pounds. Over the past year, each adult in the UK, on average, has accrued another 870 pounds in debt. These debts, which range from personal loans to credit cards to mortgages, are creeping ever higher, year by year.
Debt loads are currently causing about 273 people per day to declare bankruptcy, on one person every five minutes. Credit card spending in the UK is also off the charts currently, topping a total of 17 billion pounds in just October 2018. Financial organizations and charities continually remind UK citizens of the drastic dangers of relying on credit cards to pay for purchases during the holiday season, which can leave many adults stranded helplessly in debt.
Analysts from PriceWaterhouseCoopers have also revealed that low income households are hit hardest by the rise in debt loads, as well as hit hardest by rising interest rates. The rate of debt levels rising is currently exceeding the rate of economic growth and will leave many without any way of paying off what they borrow and owe.
Uncertainty throughout the UK due to other issues in the country, including Brexit and the volatile housing market, has enabled debt reliance to spiral ever higher as well. The country currently hopes that a successful resolution to Brexit as well as calming financial markets will enable consumers to rely less on debt spending.
Throughout the world, debt rates are rising higher by the year as well, as consumers struggle more and more to both live within the means of their income levels and well as pay down onerous prior debt. The negative impact of this debt leaves consumers unable to secure the money they need in times of trouble or unexpected high expenses. Some organizations are beginning to help those in greatest need, like the loans available at Loanski that are available to consumers without guarantors and which even accept those whose credit scores are not good. These loans can help consumers bridge the gaps during hard times as well as consolidate other debts that might come with higher interest rates or more onerous payback terms.
Leaders in the know in the UK also urge their countrymen to seek out professional financial help to better manage their money, reduce debt reliance and achieve faster payback times. Access to financial advice is better than ever with online services such as free mortgage broker Propillo.com able to help anyone in the UK at anytime.