Savings urge 'undermines debt management plans'
Savings urge 'undermines debt management plans'
- Wednesday, 8 April 2009The UK's
national debt management commitments are suffering due to an obsession with hanging on to savings, it has been revealed.
National Savings and Investments (NS&I) reveals that almost three in ten Britons would put their
debt management plans to one side if they needed extra cash - even if they had savings put aside.
Some 12 per cent would rather take out a new credit card than use their savings to meet any increase in outgoings in the short term.
And 17 per cent would go as far as to arrange a personal loan, potentially tying them into a fixed repayment period during which interest could accrue on the amount owed.
NS&I previously noted that the amount saved by the typical Briton increased towards the end of 2008.
However, the organisation stressed the importance of budgeting for national
debt management plans, in order to keep a balance between income and outgoings while accruing a savings pot if possible.

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