Loved up couples have no financial contingency
Published On 14 February 2007
Despite a considerable 87 per cent of loved up couples making joint purchases during their relationship, only four per cent have a financial contingency plan should things turn sour. New research from Alliance & Leicester Personal Loans discovered that only one per cent of those people questioned had a contract in place in the event of a break-up.
And with the cost of beginning a new life after such a split estimated at £13,500, many couples find themselves in the position of needing a personal loan to boost their finances.
Richard Al-Dabbagh, Alliance & Leicester spokesman, said: "This research shows the huge amount of uncertainly that couples have as to who gets what. It seems that too many people are getting swept away in the moment and buying things jointly with no thought about what happens in the future.
"The financial implications of starting again after a split can be major and if funds are needed, a painless way of getting those could be to get a personal loan.
"To make their budget go further people should look around for a good deal, and not just rely on their big-name high street bank to give them a good deal – it could end up costing them £700 more in interest payments."
The survey revealed that 50 per cent of partners are currently sharing a house and 56 per cent have undertaken joint debts of some form.
Alliance & Leicester offers unsecured personal loans from between £1,000 to £20,000 with a typical APR of 5.9 per cent for loans between £7,500 and £20,000.
