More than 20% using savings to `pay down` debt
11/06/2009
According to recent research by HSBC, more than 20% of the world`s workers have used their savings to pay down debt and 13% have stopped saving altogether.
The research, based on interviews with 15,000 people in 15 countries, also found that nearly 9 out of 10 people feel they are `unprepared for retirement` and around 75% don`t know what their income will be when they retire, The Guardian reports.
Clive Bannister, HSBC`s head of insurance, said: "the recession means that people are worrying more about surviving from day to day than they are concerned about the future."
A spokesperson for Debt Advisers Direct commented: "If people are repaying debts rather than saving, they could be saving money in the long run, as the interest accrued on savings is usually not as high as that on debts.
"Even so, people in a position to save should try to do so, as savings can offer protection against debt as well as help with unexpected costs, should they occur."
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Debt Advisers Direct offer free debt advice and a range of debt solutions, including debt management plans, debt consolidation loans and IVAs (Individual Voluntary Arrangements).
Carlton House, Vere Street, Salford M50 2GQ. Company registration No. 4348410. Registered in England and Wales


