Brits 'relying on credit cards to cover basic living costs'

By Sarah Engle, Mon 1 Sep 2008 - Published in Credit Cards

Despite the fact 57 per cent of Brits say they are more strict about budgeting than before the credit crunch, a fifth of people still rely on credit cards and savings to survive, according to PayPal.

Research by the group found 29 per cent of people do not include all their expenditure when working out their budget and 59 per cent only plan for essential bills and living expenses.

Carl Scheible, managing director of PayPal in the 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."

He added this can lead to "dangerous territory" with people having to deal with rising credit card bills and no savings to fall back on.

Elsewhere, research by the online bank cahoot has found some 12.4 million people in the UK would be reluctant to break up with their partner at the moment for fear of facing increased bills.

News Categories

News Archive

News: Brits 'relying on credit cards to cover basic living costs'