Thursday, February 5, 2009
Category:
Consolidation
New research conducted by CreditExpert.co.uk has revealed that the current economic climate may have reduced the general tendency to avoid discussing personal finances.
According to CreditExpert.co.uk, 53 percent of UK adults are now more inclined to engage in such conversations than they were a year ago. One in four UK adults are of the opinion that this is now ‘the’ topic for discussion. Some feel a sense of relief by sharing their woes with others in the same boat (28 percent), whilst some want to seek advice or to ascertain whether or not their financial situation is unique (27 percent).
Further results revealed that 62 percent of UK adults are prone to discussing living expenses, with the topic of cutting back on spending standing at 37 percent. Finally, 29 percent of adults are discussing savings and investments.
Darryl Bowman, Director of CreditExpert.co.uk, commented: "It's good to see people reacting positively and talking about their finances with those closest to them as sounding boards. As we open up about our finances, the easier it becomes to address issues. At the heart of the majority of financial decisions lies your credit history. CreditExpert.co.uk allows you to see your credit report and gives you easy access to professionals who are there to provide you with expert advice on your credit history. The more you know about your report, how it's used and what you can do to improve your credit rating, the better your chances of getting the credit you need."
In the main, people generally discuss their finances with their partners and good friends, however one in five are now also holding these conversations with less familiar faces such as work-mates and acquaintances. This goes to show that previous restraint regarding financial discussions is rapidly becoming a thing of the past.
In terms of the gender divide, it would seem that women are more inclined to talk about their finances than men, at 56 percent and 49 percent respectively. The reasons for this are diverse. 30 percent of women feel the need to reveal their worries to others, compared to just 19 percent of men. In addition, it would appear that women are more penny-wise judging by the fact that more women (43 percent) than men (30 percent) are likely to discuss the amount by which they are cutting back.
The research also revealed some interesting geographical facts. In the UK, Londoners are most likely to reveal the state of their finances to others (61 percent). In contrast, those in the East of England and the East Midlands are least likely to do so (43 percent). Hot topics for Londoners include the amount by which they are cutting back on their spending (45 percent), savings and investments (34 percent) and their debt (18 percent).
Trends in the generation divide were also noted, with young people aged 18 to 24 being the most likely to speak out about their finances (75 percent). The propensity to do so stands at 41 percent among those over 55 years of age, and 46 percent for those between the ages of 55 and 64. Where the younger category is concerned, the primary reason for them revealing their financial situation is to establish whether or not there are others in the same boat (32 percent).
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Homeowners who feel their finances are currently strained as a result of multiple credit and store card debts, may wish to consider a secured loan to consolidate their debt. One of many options to refinance debts, a secured loan could
consolidate all existing debts into one manageable, potentially lower, monthly repayment. Secured loans are usually repayable over a term to suit the borrower from 5 to 25 years, but it should be remembered that consolidating your debt may increase the amount you pay back overall and extend the repayment periods of your debts.
