Home > News > Debt consolidation

`Many consumers less likely to save over coming months` Money worries `overtake crime and immigration` Savings suffer in favour of debt repayment UK "friendship debt" at over £4bn, study suggests Consumers advised to protect their income Financial pressures `will see consumers hold back at Christmas` Credit crunch causing consumers to risk debt? 55% of Brits trying to clear debts Energy companies ‘blocking price comparison’ 47% considering car sharing Debt consolidation has "many benefits" "Sting-in-the-tail store cards" may cost over the odds Loan rate rises may see more debt consolidations Debt consolidation `can be done without a loan` Debt consolidation `one of many options` Consolidation loans "stand out from the crowd" Consolidation loans `can help in long credit rating fight` Facebook users warned over illegal debt ads Consolidation loans `can ease financial burdens` Consolidation loans `provide essential funds`

Many Britons `consolidate debts to manage payments`

28/06/2007

A total of one-third of borrowers in the UK are using debt consolidation to manage their payments, a new study reveals.

Research from Alliance & Leicester indicates that debt consolidation is the second most popular reason for taking out a personal loan in Britain, with 34 per cent of the general population and 36 per cent of people in London and the south-east choosing to do so.

The most popular reason to borrow cited by the survey is to pay for a vehicle, such as a new car, used car, motorbike or caravan.

Another 20 per cent of respondents said they were taking out a personal loan in order to do home improvements.

Richard Al-Dabbagh, Alliance & Lecester senior personal loans manager, said that it "isn`t too surprising" that people are taking out loans to buy a vehicle, as deals offered at the majority of car showrooms cannot compete.

Some 25 per cent of people who take out consolidation loans clear their debts early, according to Fool.co.uk.

Gas price cuts expected 07/01/2009 - Energy company Scottish Power has announced the launch of a Personal debt about £1.5 trillion 07/01/2009 - The UK’s personal debt stands at around £1.5 trillion, according British reliance on gas for energy growing 06/01/2009 - New figures suggest that Britain’s dependence on natural gas is Small business seek cap on credit cards 06/01/2009 - Credit card interest rates should be capped to help small