Two thirds of consumers use high-cost short-term credit to avoid bill default

Industry News | 09/07/19

New research, undertaken by Opinium, on behalf of UK lender Elevate Credit, reveals that nearly half (45%) of sub-prime borrowers, equating to 7.1 million people in the UK, would need to cut back their spending significantly if their earnings were reduced by £25 per week or £3.50 per day – just 50p more than a supermarket meal deal. At the same time, economic research that accompanies the survey results has identified that the majority (65%) of those using high-cost short-term credit are doing so to avoid defaulting on a household bill.

Source: Credit Connect