Half of Brits are worried about debt, study finds

Around half of the UK public are concerned about debts, with some even looking to payday loans to help ease the pressure, an insolvency trade body has revealed.

New research by R3's Personal Debt Snapshot found that 47 per cent of British individuals are worried about their level of debt.

The figure represents an increase of seven per cent compared to those seen in the same period last year.

Credit card debt remains the biggest worry, accounting for 53 per cent of concerns, a boost of five per cent on last quarter, while payday loan issues have increased by two per cent in the same period.

"Individuals turning to short-term loans and credit cards should be wary of the high interest rates that often accompany these products. Overall debt can quickly snowball out of control," said Frances Coulson, R3 president.

The findings come just days after research by the Consumer Credit Counselling Service found that five million households are not saving enough.

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2011-08-15 13:06:56 © Moneyextra.com