Personal Debts are a ‘Heavy Burden’ for a Third of Young Adults
September 7, 2016
Personal debts are a “heavy burden” for 32 per cent of 18 to 24 year olds around the UK, according to recent research.
A study carried out on behalf of the Money Advice Trust has found that credit card arrears and other forms of personal debt are a source of real concern for many thousands of young adults throughout the country.
The research was commissioned after figures showed that while under-25s account for 21 per cent of the UK’s over-indebted population, they only make up 12 per cent of callers to the National Debtline.
According to the latest numbers, a majority (51 per cent) of young adults worry about money on a regular basis and just over a fifth (21 per cent) sometimes find themselves unable to sleep because financial concerns are playing on their minds.
Notably, women in the under-25s age bracket were considerably more likely to worry about money and to lose sleep over financial issues than their male counterparts.
It was also found that roughly 10 per cent of the UK’s young adults have fallen behind with important financial commitments over the past year, with 7 per cent having missed either a rent or mortgage payment during that time.
A key concern for the Money Advice Trust in light of its own findings is that so few young men and women are reaching out for advice and expert guidance in dealing with their finances and debt management issues they may be struggling with.
Research suggests that 63 per cent of 18 to 24-year-olds have asked a parent for advice on financial matters but only 2 per cent have ever sought guidance from professionals in the field.
“With many young people beginning to build up debts soon after they turn 18, we face a real challenge as a society to make sure they receive the support they need to manage their money well,” wrote the Money Advice Trust’s chief executive Joanna Elson in a foreword to her organisation’s report entitled ‘Borrowed Years’.
“Crucially, we know that far too few young people are seeking the free advice they need when they fall into financial difficulty,” she wrote.
“If we let this situation continue, there is a real risk that young debts will become old debts, with the financial prospects and life chances of young adults being negatively affected as a result.”
If you live in Scotland and are struggling to cope with your personal debts then Scotland Debt Solutions can help. Call one of our experts directly to arrange a free and confidential consultation.
The start of a new year is the perfect time to take stock of your finances and put plans in place for a financially savvy year ahead. While you may feel your problems are insurmountable, there are always things you can do to help, most of them surprisingly easy. Here are 7 ways you can […]
If you have credit card debt which is attracting a high level of interest, moving this balance onto a lower interest card could save you a considerable amount of money. This process is known as a ‘balance transfer’, and if done correctly, this process could save you money and also reduce the time it takes […]
Many thousands of young Brits are being actively encouraged towards taking on debt and spending borrowed money even before they reach their 18th birthdays. That’s according to the price comparison website comparethemarket.com, whose research suggests that roughly one in four 16 and 17 year olds in the UK have been offered credit cards or asked […]
If you’re in serious debt with no hope of repaying your unsecured creditors, you don’t have to wait for a creditor to take legal action against you. You may be able to take matters into your own hands and apply for sequestration (bankruptcy in Scotland). This also prevents your situation from worsening. There are two […]
If you’re looking to save some money it’s a good idea to make a detailed budget that lets you see where your cash is currently being spent, and offers an overall view of your finances. You’ll need to collect together your income and expenditure details, including annual costs such as insurance, car expenses, birthdays and […]
Scotland has a number of formal debt solutions that can help you deal with a difficult financial situation. It’s advisable to take action as soon as possible, however, to prevent your levels of debt escalating when interest and other charges are added. Obtaining professional advice is key in this respect. An approved money advisor or […]