Interest payments on loans, credit cards and mortgages in the UK are totaling £93 billion a year at present an average of around £1,500 per person. That figure is dwarfed by the personal debt total in the UK, which stands at £1.39 trillion.
Furthermore, a worrying amount of people are finding their debts unmanageable, with just under 10 million people hitting a credit limit of some form in the past six months. The poor financial circumstances of many people is reflected by the fact that 38 per cent of borrowers have had a credit card application rejected in the same period.
It has been reported that people could save themselves a significant amount of money by paying closer attention to their interest payments. In the past six months, three million people have taken out a consolidation loan, though two thirds of these people failed to shut down existing forms of credit, reportedly costing them over £2,000 each per annum. By closing such other forms of credit, consumers could have saved a total of £15 billion it has been suggested.
Loans Interest Totals GBP93 Billion a Year in the UK
Loans Interest Totals GBP93 Billion a Year in the UK
Thu, 10 Jan 2008
Recommended links
The Essential Personal Loans GuideNeed a Credit Report?
Debt Repayment Advice
Cheap Loan Offers
Bad Credit Loan Lenders
Alliance & Leicester Offering 6.9pc Loans
Loan Rates Forecast to Fall Next Year
| Personal loans news |
|---|
| February Loan Approvals Drop - Fri, 09 May 2008 |
| Credit unions offering personal loans - Wed, 07 May 2008 |
| Lender Increase Loan Rates Again - Thu, 01 May 2008 |
| More News |
Paying Too Much?
7 out of 10 people are paying too much for their mortgage. To find out if you're one of them click here or fill out a FREE no obligation enquiry form