Let’s Talk About Debt : Changes for the better
In the wake of news from Wonga and as sweeping changes hit the debt resolution industry, Harrington Brooks release their first quarterly comment “Let’s Talk About Debt”.
Debt can be a difficult issue for people to talk about, but admitting there are issues with your finances is a key step in getting back on track. That’s why it’s important we talk about debt. Currently:
- 6,405 new debt problems are dealt with by Citizens Advice Bureau every working day (The Money Statistics October 2014, Money Charity).
- Advice relating to debt represents 30% of all advice provided by Citizens Advice Bureau (CAB). The volume of debt advice has decreased by 14% against last year.
- 297 people are declared insolvent or bankrupt daily.
- 71 properties are currently repossessed daily.
We also report that consumer credit lending is the highest it has been in 3 years and that six in ten people in debt affected by mental health problems, leading to Citizens Advice calling for more responsible lending.
Research conducted by Economics Help suggests raising interest rates by 0.5% will increase the cost of a £100,000 mortgage by £60 per month. The Money Charity this week also reported that 9.24m households have no savings plus there are a further 3.43m that have under £1,500. Could credits union help? Read our Guide to Credit Unions.
So, there are thousands of families which remain financially vulnerable and the stigma that debt carries may prevent people from seeking help. Let’s talk about debt and change attitudes.