Crunch encourages ‘save now, buy later’ attitude
Rather than dampening consumers’ appetite for shopping, the credit crunch has actually resulted in a new trend of ‘saving now, buying later’, according to Yorkshire Bank.
A survey by the bank revealed 77% of Britons think paying for a high-value item is more satisfying when they have saved for it, rather than purchased it spontaneously with borrowed money. Plus, 84% said they cherished or enjoy items more if they had saved for them, rather than paying with borrowings.
After the credit crunch hit the UK economy, 73% of consumers interviewed by Yorkshire Bank said they were more careful with their money now compared to 12 months. Of those surveyed, 50% said they were more likely to save their disposable income before purchasing a high-value item than they were a year ago.
Gary Lumby, head of retail banking at Yorkshire Bank, commented: “It seems people are finding that a more prudent approach to managing their finances brings greater rewards and satisfaction than the days of cheap credit and ‘buy now pay later’. The current market conditions are great for savers, so we’re encouraging our customers to look at the many savings options which offer generous interest rates.”