UK Debt Bombshell – It’s real, it’s ours …and we’ve got to pay it back.
These are truly frightening figures. What will our future generations think of how we are mortgaging their future? This is not just a problem for us today but also for tomorrow. We are taking on unsecured debt at a faster pace than any other time. What can we do about this? How can we start to gain control and get out of debt? Do you have a balanced financial plan?
How BIG is BIG and IS IT GROWING?
|Definition||How is this written?||In Perspective|
|Million £||£1,000,000||If you spent £1 million an hour, non-stop for 24 hours a day, you wouldn’t add up to £1 trillion for 411 years.|
- People in the UK owed £475 trillion at the end of April 2016.
- Based on April 2016 trends, the UK’s total interest repayments on personal debt over a 12 month period would have been £545 billion.
- Outstanding consumer credit lending was £2 billion at the end of April 2016.
- Total credit card debt in April 2016 was £4billion. Per household this is £2,387 – for a credit card bearing the average interest; it would take 25 years and 6 months to repay if you made only the minimum repayment each month.
- UK Banks and Building Societies wrote off £977 billion of loans to individuals over the four quarters to Q1 2016.
The Big Question
We have created this debt trap, who or what can get us out of it?
For the answers go to www.yourmoneycounts.org.uk
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Source of figures -The Money Charity. (The Money Charity is the UK’s financial capability (financial education) charity.)