The credit crunch has meant that many Brits are setting themselves a budget so that they can deal with their debt problems. Although having a budget does not necessarily mean that you can avoid seeking debt advice, as one in five of those who are budgeting are relying on their savings and credit cards in order to afford general living costs.
Research carried out for PayPal Top Up Card, shows that 80% of Brits are settling themselves a budget so that they can deal with their finances in a more efficient way, although half of those who budget admit that the experience is “stressful”.
Carl Scheible, managing director of PayPal UK, said: “It’s concerning that so many people claim to keep to their budget, yet still rely on credit cards or savings for basic living costs. The consequences of this kind of strategy are soaring credit card bills and no savings to fall back on, which is dangerous territory.”