Home > News > Debt in scotland

Initiative announced to support Scottish people in debt More Scots with extreme credit card debts, charity reports Govt actions `could lead to debt for pensioners` Middle-class families in south-east `most in debt` Scottish bankruptcies double BBC Scotland looks at effects of debt on health Scotland avoids house price decline Optimism for Scottish economy Demand for staff in Scotland highest in UK Scots `faring better from credit crunch` Scottish markets "remarkably robust" Crunch `affecting Scottish consumers worse` Scots `feel inflation to be 8.4 percent` Scots calm as UK `goes switching crazy` Scottish house prices `dropped at end of 2007` Debt problems grow for Scots as bankruptcies soar Scots `positive` over new year debts Generous Scots spreading festive cheer Areas of Scotland `most indebted in the UK` Scottish house prices soar

Scots `least likely to pay debts with savings`

03/09/2007

Scots are least likely to use their savings to pay off other debts, a new survey has revealed.

Those from Scotland and the north of England are finding other ways to pay off debts, rather than use their savings while the high cost of living is driving Londoners to raid their savings accounts to pay debts, research from Birmingham Midshires has found.

Rising interest rates are making more people turn to savings to pay off mortgages and credit card debts, with the over-55s the worst offending groups, taking four times as much from their savings as under-30s.

Jason Robinson, director of savings operations at Birmingham Midshires, said: "While homeowners are feeling the pressures following Bank of England rate decisions, there has never been a better time for people to put away their money. Interest rates at a six-year high mean great returns for savers, whatever amount you can afford to put away."

The Bank of England has raised interest rates five times in the last 12 months, with current rates at 5.75 per cent. Its next decision on interest rates will be taken on Thursday.

Consumers took on more mortgage debt in July 26/08/2010 - Consumers took on £2bn more mortgage debt than they repaid Debts called in by parents 26/08/2010 - According to research, `the bank of Mum and Dad` is Teenagers `scared of debt` 19/08/2010 - Nearly two thirds of teenagers are `scared` of debt, according Rising household costs could pressure people in debt 10/08/2010 - The UK may be about to see a rise in