Debt management ‘is key for students’

Debt management is one way for hard-up students to tackle the current economic climate, one expert has suggested.

Current account director for Halifax Mike Regnier said that research undertaken by the organisation revealed that learners are spending more than £200 a week, despite reporting they are cutting back during the recession.

He remarked: “At the moment it’s more important than ever for students not only to set a budget and stick to it, but also to minimise the cost of any borrowing.”

Those attending university should also apply for overdrafts that are interest-free to keep control of their spending, Mr Regnier advised.

According to Halifax, 59 per cent of students are claiming they are reining in spending, yet figures show the average money used for living expenses has risen by five per cent since 2008.

Andrew Hagger of comparison website Moneynet.co.uk last month urged those at learning institutions to seek help with their debts.

By Francis Finch