The majority of Britons could be set to face financial pressures in later life, new figures suggest. According to Birmingham Midshires Saving Britain report, some 55 per cent of adults do not think that they are currently earning enough money to allow them to put cash aside, which could consequently cause them to develop debt difficulties should they be hit with an unexpected utility bill or when looking to make repayments on credit cards and personal loans. The study revealed that the average Briton needs to earn a typical amount of 1,824 pounds per month before they see themselves as being in a position to save. Meanwhile, a third state they would have to earn over 2,000 pounds per month to begin putting cash aside, while eight per cent claim an annual income of 36,000 pounds would give them enough money to allow them to begin saving. The findings also showed that those aged 35 to 44 appear to suffer the most from financial pressures as they believe that they will have to earn more than 2,000 pounds per month before they are able to start saving. This compares to younger people who state that 1,423 pounds is the income level they will have to reach before setting money aside. Commenting on the findings, Jason Robinson, director of savings operations for Birmingham Midshires, said: The big concern is that savings seem to be viewed by many as an unaffordable luxury. With interest rates at an all-time high, there has never been a more opportune moment for people to set aside their money in a lucrative savings account. By putting aside a little and often, it will not be long before savers reap the benefits of adopting good savings habits. In addition, the study also showed that residents from Yorkshire are twice as likely to be able to save as their peers living in the north-east - as 19 per cent of consumers from this region claim that they can afford to save, in comparison to nine per cent. People in London think that they need to earn an average of 24,500 pounds a year to be able to save - the highest figure recorded across the country. Meanwhile, divorcees could be set for the greatest monetary pressures as three out of four state that their finances will not allow them to set money aside. On the other hand, just over half (53 per cent) of those married or in a civil partnership report that they cannot save. However, for those concerned that they are currently unable to set aside as much money as they would like, as a result of financial pressures such as paying utility bills and mortgage commitments, taking out a low-rate personal loan could be an possible way to get out of the red quickly and free up more cash to set aside for later life. With this in mind, consumers should be honest when looking to borrow money. Earlier this year, consumers hoping to get a fast loan were strongly advised by Cifas against lying on application forms as the withholding or falsification of certain information can actually be counter-productive.
Related Articles:
|
