The research reveals that people aged over 50 are finding it harder and harder to pay bills and, as a result, are turning to their overdrafts to make do.
Of the 4.5 million older people who regularly use their overdraft facility, 1.5 million are doing so in order to pay bills while 1.2 million need their overdraft simply to do their weekly shop.
The situation is made worse by those who go beyond their overdraft limit, as uSwitch estimates that over 50s are forking out upwards of £330 million a year on interest.
Nick White, uSwitch’s head of personal finance, commented: “These figures shatter the myth that debt is something that only affects the younger generations in this country.
“At a time when the only interest rates the nation’s elderly should be worrying about are those on their savings accounts, too many are finding out how expensive it is to borrow on an overdraft or worse still, to go overdrawn without authorisation.”
A survey published by IVA provider, ClearDebt, confirmed the trend for older consumers to owe more. The survey showed that, amongst IVA seekers, over 45’s owed 188 per cent of their annual take-home income, compared with 105 per cent for those under 25.