You are here: Home - Saving & Banking - News -

Three in five Brits have money rows

0
Written by:
14/03/2008

More than 71% of Brits borrow money from family members or friends, according to a poll of UK credit professionals by the Credit Show.

The research also revealed that nearly three in five of them have also fallen out with their family or friends because of this borrowing.

It is no news that many Brits are up to their eyes in personal debt, but one source of borrowing that is never really documented, is the amount of people who turn to family and friends to help them out. The poll showed that even financial professionals don’t escape the British debt culture, with nearly three quarters having to ask family or friends for money, with 38% of them borrowing up to £500 and 25% of them borrowing over £1,000.

Kelly Stanley, spokesperson for the Credit Show, said: “We know that Brits like to spend, but this poll shows quite clearly how many of us are having to borrow off friends and family in order to pay off debts or fund lifestyles.

“With interest rates currently at a high level and the credit crunch beginning to bite, I’m sure we are likely to see more of this over the next year or so. With a quarter of people admitting to borrowing over £1,000 within the last year, and with nearly 60% falling out with their family and friends, our poll highlights the seriousness of the matter.”

It is no surprise then that when these same respondents were asked if they would lend to or borrow from family or friends again, over 65% answered either ‘maybe’ or ‘only in an emergency.’

Stanley concludes: “With family or friends there is a tendency for people to be more relaxed with repayments. In fact, the poll also revealed that 58% of people admitted that no legal agreement was ever in place concerning repayment. If you borrow from friends and family but fail to pay them back, you could lose their friendship and support – which should be worth more than the sum borrowed in the first place, but sadly this isn’t always the case.”
 

Tagged:

Tag Box

Debt

Pension

Spending

Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Capital Gains Tax reforms prove unpopular

The 2008 Budget’s reforms to Capital Gains Tax (CGT) have not been well received by the insurance and wealth management...

Close