Although debt worries are hitting every age group, those who are 50 and over are in the highest debt risk bracket, coupled with the fact that they are closer to retirement, it is essential that they seek debt advice.
The average 50-60 year old takes longer to pay off their debts and owes more, according to research. The average unsecured debt in this age range is £41,000, compared to the average debt level of £32,700 in other age groups. This is a 25% different in the amount of unsecured debt which is owed.
Unsecured debt consists of personal unsecured loans, credit cards, store cards and overdrafts which are usually lent at a much higher interest rate than secured debt.
Managing director for the debt management company which compiled the report said: “Although many people in their fifties are used to maintaining high levels of personal debt they are often just ‘treading water’ with repayments and covering little more than interest charges.”