Consumers ''struggle with credit card debt''
Published: 12 September 2008
By MoneyhighStreet Staff Leave a Comment
Updated: 7 January 2010
Consumers are struggling to balance payments for credit cards and loans with affording the basic costs of living, a charity has claimed.
The growing problem has been highlighted by Citizens Advice Bureau, which claims to have seen the most significant growth in “priority debt”.
“One of the first things our advisors will do is divide the debts into priority and non-priority,” CAB manager Simon Field told Canterbury Today.
“This type of debt indicates that people in the Canterbury district are finding it increasingly difficult to afford basic everyday living expenses,” he added.
Mr Field believes that the rising cost of living, coupled with the credit crunch and higher energy bills, is responsible for pushing many over the edge.
This chimes with data from IVA.com, which has seen the average total debt of consumers signing up for individual voluntary agreements (IVAs) has increased from £32,750 in May to £47,000 in August.