Debt management company advises holiday-goers to avoid getting
into debt this summer
Released
on: August 14, 2008, 9:46 am
Press
Release Author: Gregory
Pennington Ltd
Industry:
Financial
Press
Release Summary: Debt management company Gregory Pennington warns
that the financial consequences of an expensive holiday can outweigh
any beneficial effects.
Press
Release Body: Responding to a study suggesting that a quarter
of British adults have shelved their holiday plans to ease the
strain of the credit crunch on their finances, debt management
company Gregory Pennington (www.gregorypennington.com)
have advised other people struggling with their finances to consider
following suit and not risk getting into debt this summer.
The
study from CreditExpert.co.uk, the online credit
monitoring service from Experian, showed that
43% of those questioned were worried about the impact of a holiday
on their finances, yet only 24% have changed their plans.
The
study also claimed that 2.8 million British adults will get into
debt in order to fund holidays this year – twice as many
as this time last year.
A
spokesperson for Gregory Pennington commented:
“It’s encouraging that many people are considering
changing their plans with regards to holidays this year, although
it’s still a concern that so many people are still spending
beyond their means.
“The
relatively easy access to credit in recent years has meant it
is now common for people to get into debt to fund expensive holidays,
and this debt can become a serious burden if it’s not managed
properly.”
The
study also claims that 33% of those in the 18-24 age group say
that peer pressure often forces them into holidays they cannot
really afford. “This is a common problem,” says the
Gregory Pennington spokesperson. “We live
in a culture where we can take many things for granted, and it
seems to many people that includes holidays. But if that involves
racking up large debts, it might be best to carry on saving and
maybe even wait until next year.”
Of
the people attempting to cut back on holiday debts, it was revealed
that 19 per cent would be sharing with family or friends in an
attempt to cut costs. This figure rises to 37 per cent in the
18-24 age group.
The
spokesperson commented: “Sharing is a good way of minimising
holiday debts this summer, and some people may be able to avoid
getting into debt entirely this way. Certainly, if you are still
intending on going on holiday, we advise people to cut costs wherever
possible, unless you are completely sure you can afford it.
“The
credit crunch is putting pressure on most of us at this time,
and there is the risk that unless you are very careful, you could
arrive home with potentially unmanageable debts to deal with.”
The
spokesperson went on to point out how easy it is to get into debt
unintentionally. “Many people book holidays well in advance,
up to a year in some cases. Much of this is done on credit, under
the belief that they will be able to save up enough money in that
time to cover the holiday.
“But
the pressures of the credit crunch and rising costs of living
mean that many people may be finding it much harder to pay for
their holidays than they anticipated. If this happens, it doesn’t
take long before the interest begins to add up and the debts could
become unmanageable if they are not taken care of quickly.
“We
advise anyone in this situation to contact an expert debt adviser,
who can discuss your situation and help decide the best plan of
action. There are various debt solutions available to suit different
situations, including debt management plans, debt consolidation
loans and IVAs. Choosing the right debt solution could help you
cut down your monthly costs and prevent your debts from continuing
to grow.”
Gregory
Pennington (http://www.gregorypennington.com/)
are a financial solutions company based in Salford Quays, Manchester.
The company specialises in a range of financial services, including
mortgages, loans, debt help and advice (including debt management
plans, IVAs, and debt consolidation).
Web
Site: http://www.gregorypennington.com
Contact
Details: Melanie Taylor
melanie.taylor@gregorypennington.com
0845 056 6480
Pennington
House
Carolina Way
South Langworthy Road
Salford
M50 2ZY
2012
