Latest Debt News
Survey reveals concern over mortgage repayments
08/12/2005 14:13:00
A new survey carried out by Moneyfacts.co.uk has revealed that a worrying number of people could be overstretching their finances on their mortgage.
Some 32 per cent of respondents admitted that their mortgage repayments account for more than a third of the money they take home each month, meaning if their mortgage rate were to rise they could face debt problems.
The survey also discovered that 61 per cent of consumers have a credit limit on their credit card that is greater than they had asked for, which again increases the chances of running up unwanted debts.
Emma Butler, Moneyfacts.co.uk Editor, said: "Almost a third of consumers having mortgage repayments that are over a third of their salary is a concerning statistic.
"With mortgage rates at the low levels they are at the moment, it is easy for consumers to borrow large amounts. However, it is the responsibility of consumers and lenders to ensure that they are aware of the consequences if mortgage rates increase."
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