Millions of Britons ‘always in debt’

Over four million Britons are permanently in debt, a new survey has shown.

The study by MoneySupermarket.com has revealed 17 per cent of adults (4.5 million) are constantly overdrawn, while 35 per cent of consumers have dipped into their facility at some point in the last 12 months.

And 27 per cent of people have gone into the red within 15 days of being paid, which may suggest some need help to get debt free.

Head of banking at the site Kevin Mountford said: "Times are hard for UK consumers with many people either out of work or receiving no pay increase despite the high cost of living," adding that in such circumstances it is "no surprise" many are often overdrawn.

Mr Mountford noted that it is vital for people to ensure they have an authorised overdraft if they are likely to exceed their limit as an unauthorised one can incur steep penalties.

Only one in 13 people who need help with debt seek any assistance for their situation, a recent poll by insolvency professionals' body R3 indicated.

Posted by Paul Thacker