More than ten million British credit consumers have admitted that their personal loan and credit card debts are nearly or actually unmanageable.
Figures from uSwitch.com show that almost a quarter of all British adults are fearful of their financial future because of the extent of their debt management difficulties.
During the past half-year around 5.4 million have missed at least one repayment demand from their respective lenders and UK consumers now have more than £217 billion worth of outstanding personal loan and credit card debt.
“In the run-up to Christmas, traditionally one of the biggest periods of consumer spending, people are feeling less well-off and are worried about the future,” said Ann Robinson, director of consumer policy at uSwitch.com.
“The days of easy credit and the ‘buy now pay later’ culture may be numbered, but they will leave a painful reminder for those left struggling with debt.”
Accountancy firm KPMG predicted earlier this year that a record number of people would enter an Individual Voluntary Arrangement (IVA) by way of a debt solution over the course of 2007.