Good morning / 12.10.08
Consumer Home
Consumer Home
06 February 2006
Debt Freedom Day, the notional point in the year where the average UK employee has earned enough money to clear all their interest in one go, falls today.
This year, the average UK adult would take 35 days to clear their average personal loan and credit card interest payments of £2,350.
The day has been steadily falling earlier in the year since 2004, when the average interest payments of £3,200 put it on February 15th , and 2005 when the average payments of £2,400 meant it fell on February 10th.
Over the past two years, the level of personal borrowing in the UK has fallen from £63 billion to £59 billion, but this remains 55 per cent up on the year 2000.
"Debt Freedom Day is of course a hypothetical date, but it serves to demonstrate that UK consumers really need to take better heed of warnings and take charge of their finances," said David Elms, chief executive of IFA Promotion.
"Whilst a reduction in the number of credit card and personal debts is unquestionably great news, the only way to control debt and increase saving power is to adopt careful budgeting.
"An independent financial adviser can help you focus on your finances and improve your spending, borrowing and saving behaviour."
© Copyright Adfero Ltd
