UK works 31 days solid just to clear interest on debt

01/02/2007

According to latest figures from independent financial advice company Unbiased.co.uk. across the UK many people have worked a massive 31 days to just pay the interest on their credit card and loan debt that they may have.

The figures are based on a typical example of the UK average salary of £23,556, and someone who has a £2,012 interest on their credit card. The figures suggest the individual would have worked all of January 2007 just to pay that interest figure without even making any impact on their actual debt.

These figures actually highlight the extent of the UK’s neglect to debt situations and the importance of personal saving plans or even seeking independent advice to ease the payments.

The chief Executive of Unbiased.co.uk, David Elms commented “Although Debt Freedom Day is of course a hypothetical point in the financial calendar; it does serve a real purpose and should be seen as a wake up call to those who carry personal debt. Debt Freedom Day does fall slightly earlier this year, which is undoubtedly good news, as it means average levels of personal debt continue to fall year on year, but the real headline will come when official figures show people controlling their spending behavior and increasing their saving power, and this date becomes a non entity”.

David further encourages people to seek independent assistance such as a financial advisor who can help assess your monthly spending and pinpoint areas where savings can be made.