Britain's Shocking Debt Statistics - Do you Know How Much We Owe?

Out of all of our worries, money is number 1.

In fact, 18.5 Million people in the UK said money causes most day-to-day stress, according to moneysupermarket.

It seems to trouble us all in one way or another, with a reported 7 million Brits losing an average of 11 nights’ sleep a year due to worrying about money.

According to research done by StepChange Debt Charity; 61% of people state it affects their concentration and 32% struggle to get work done. 62% of Brits feel frustrated, 55% worried and 39% helpless because of their financial situation.

When you think ‘money troubles’, the first thing that comes to mind is owing a lot and not having enough. Although this is the case for many of us, what happens when you aren’t receiving money that is owed to you?

Customers not paying invoices or loans not being repaid can put you in a very difficult financial situation. Many of us end up with debt troubles because we are waiting to receive payment from our own debtors!

As of July 2017, Britain owed a whopping £1.548 TRILLION in debt.

In the UK, we lend approximately £155 million to individuals every day.
We have £201.524 billion outstanding consumer credit lending (as of July 2017), yet £6 million in credit card debt alone is written off every day. Individual small businesses have written off £20,400 for the second quarter of this year.
The small business guide says that, “typical UK micro-businesses write off an average of £1,804 in unpaid invoices per year. With five million micro-businesses in the UK this equates to a total of over £9 billion written off in unpaid invoices last year.”

But why are we writing off our debt?

In a recent blog post on Quora.com, one user asks, “How stressful is chasing debts on a scale of 1-10? (10 being most stressful)”
To which another replied “11”.
But it doesn’t have to be this way!

Citizen’s advice dealt with 104,201 debt related issues in April alone.

BBC has reported that the debt collection industry is now worth £20 Billion per year, so we must be doing something right.
The amount of overdue debt in the UK is increasing yearly to the highest we have seen so far. If a part of that £1.548 Trillion was owed to me, I’d definitely want to chase it!

There is a way to get help. Debt collection companies like Franklin James, specialise in collecting debts in a friendly and professional way. The best part is – we offer our service on a no win no fee basis!
Debt services can also help those who are in debt by organising payment plans to suit your financial situation.

So here’s a #ThursdayThought for you…why are the people of the UK still scared to chase debts?

Continue to our article on “debt collection myths” and find out.

Written by: Elise Doyle