Credit card debt is an increasingly serious issue for Britons who run out of money before payday and find themselves turning to overdrafts and credit …
Credit card debt is an increasingly serious issue for Britons who run out of money before payday and find themselves turning to overdrafts and credit to make ends meet, according to new research.
UK comparison site MoneySupermarket.com found that while 38 per cent of Brits dip into their savings when caught short before being paid, 25 per cent find themselves using their credit card.
Furthermore, 29 per cent take advantage of an authorised overdraft to ensure they have enough cash to keep going before their next pay packet arrives.
Kevin Mountford, head of banking at MoneySupermarket.com, said the high cost of living in the UK is making getting by difficult for many consumers.
"For those relying on credit cards or their overdraft as a fallback until pay day, as our findings show, it really does pay to research your options," added Mr Mountford.
Director of CashQuestions.com Annie Shaw recently described the phenomenon of people living off credit cards and overdrafts as "a massive concern".
Posted by Amy White