Posts in the Debts category
More and more young people, between the ages of 18 and 24, are having to help their parents with their money issues, to keep them above board.
Engage Mutual have found that 41% of 18-24 year-olds have provided some sort of moentary support to their parents in the last 6 moths - 78% of these saying that they are contributing to utility bills as the prices of them continue to rise.
Up to 5.4million houses are now being placed under the ‘fuel poverty’ umbrella, due to the ever-increasing costs of gas and electricity.
And, with even more rises expected, these figures aren’t looking too good.
People suffering from debt management problems will be particularly vulnerable, as more of their income is being used to pay off their debts, rather than paying their current bills.
Families with young children, and also the elderly, are at risk too and should be seriously considered by the government when considering what to spend money on this winter.
Credit Action have advised people who are at risk of getting into debt, or furthering their debt, should draw up a budget to avoid it.
By drawing up a budget, such as a weekly money diary, people could better themselves financially, and avoid the need for debt management plans and the like. Little savings here and there, such as not buying a cup of coffee, taking a lunch instead of buying one, could help enormously over the month, and would be an ideal money saving tip to implement.
More and more people are having to think about refinancing their debts - especially due to the current economic slowdown. By choosing to consolidate their debts, into one monthly payment, people aim to keep their heads above water and better control over their debts. As the money markets begin to return to movement, we are expecting banks to be a little less reticent in the coming months, and so the likelihood of consolidation loan applications rising is a distinct possibility.
The advantage of a consolidation loan, is that it enables you to combine all your debts (loans, credit cards, overdrafts) into one monthly repayment, which can seriously help when sorting out your finances. It can also help to bring monthly repayments down, by agreeing a term time to suit you. The bad part? Rates of consolidation loans can be a little higher than you would normally find, but often, it is the only option.
Families seem to be finding themselves under increasing financial pressure and more and more are unable to pay for their ageing relatives' healthcare costs. According to caredirections.co.uk, many households are facing intolerable strains ont heir finances due to the credit crunch and their elderly relatives are suffering as a result.
In addition, delays in the processing of lasting legal power of attorney applications have led to many families being unable to release equity from the parent's/grandparent's homes, leading to a lack of funding for costs such as care home fees.
Age Concern have called for the government to increase the number of people receiving pension credits. A new report has found that six out of ten low income pensioners are struggling to handle their finances.
The group are asking the government to introduce automated pension credit payments to ensure that most people receive them. One in ten poor pensioners are being forced into debt by the rising cost of living, and over half of them are cutting back on essentials.
A recent survey by GE Money showed that only one in four Brits feel their pension will cover their retirement.
Many Brits who are less well off than their big spending counterparts are going without food due to the debt fears and budgetary squeeze.
A joint survey by chairty, NCH and Barclays, shows that one in five of the poorest Brits skip meals due to not being able to afford food.
The study also found that 57% of the group find it more of a struggle to afford meals than they did a year ago - and that around 12% have gone hungry over the past year, due to money worries.
The pollsters blamed poor management of personal finances along with rising food prices. Basic money management can help enormously when trying to cut down on weekly grocery bills, NCH said.