A million people to use payday loans for Xmas

Over a million people admit they plan to use payday loans to cover the cost of Christmas spending this year, according to a new survey from the Money Advice Service.

The research was carried out among 2,000 United Kingdom adults by One Poll in October 2013.

Key findings

  • Almost a third of UK adults (16 million people) will pay for this year's Christmas festivities using credit cards. And 1.2 million will take out payday loans.
  • Nearly one in ten adults (9 per cent) are still paying for Christmas 2012.
  • Overall, people anticipate their Christmas spending will amount to £487 this year – that’s £21 less than 2012 (£508).
  • Nonetheless, over a third of adults (38 per cent) say they are ‘worrying’ about how they will afford Christmas this year.
  • 34 per cent of adults (about 17 million people) admit they expect to start 2014 in debt because of the cost of Christmas.

Source: Press release 1 November 2013, Money Advice Service
LinksMoney Advice Service press release | Telegraph report

Category:

Publication date: 
Nov 1 2013