Holiday debts soaring in the UK

Holiday debt has become an increased problem

The Association of Business Recovery Professionals (R3) has released new figures which state that holidaymakers will take seven months to pay back the average sum of over £1000 they borrowed to pay for their holiday.

The research looked at how the economic recession has affected holidaymakers’ habits. It found that:

Those holidaying from Scotland are most likely to borrow to pay for their holiday
10% of people from London said that the cost of their holiday would be paid for by borrowing
Those from the North West, Yorkshire and the West Midlands are least likely to borrow to pay for their holiday

The research also illustrated a generational split, with holidaymakers between the ages of 16 and 24 being the most likely to borrow and those over 65, the least likely to borrow.

R3 Vice President, Frances Coulson, remarked:

That people are prepared to take on a substantial amount of debt for such a long period of time in order to afford a holiday is worrying, especially as these are still economically uncertain times. Personal insolvency hit record levels in the first quarter of this year and looks set to rise – so we’re urging people not to spend more than they earn.

Payplan

Payplan offer debt advice on a range of issues. You can contact Payplan online or call 0800 280 2816 for free advice and support to help manage your debts.

Written by Administrator on August 10th, 2010

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