Brits work for three days to pay debts

Research by the Consumer Credit Counselling Service CCCS has revealed that many Brits work for three days a week just to pay off their debts.

The findings suggest that the average person seeking help for their debts has to work until 4pm on Wednesday just to earn enough to pay off their unsecured debts, those with the best loan interest rates were told.

They then work the remainder of the week to fund their basic living expenses, including mortgage repayments, in some cases leading to a spiral of debt.

"With rising prices continuing to push up the cost of living, household budgets are under increasing pressure - and these figures show how difficult it can be to escape from debt once it builds up," explained Delroy Corinaldi, external affairs director at CCCS.

In 2010, the average person contacting the charity had debts totalling £22,476 on credit cards, personal loans, overdrafts and other types of unsecured debt, creating an average monthly bill of £675.52.

Meanwhile, people with the best loan interest rates were told by unbiased.co.uk that repayment of debts has slowed from £2.4 billion in Q4 2010, to £1.8 billion at the beginning of this year.

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2011-06-09 13:05:30 © Moneyextra.com