Up to 6.5 million people have been forced to
consolidate their
debts in the past three years as they seek to keep
borrowing under control, it has been claimed.
The data, released by MoneyExpert also reveals that 1.29 million people have moved debts of more than £20,000 which they have run up on
credit cards, store cards and
overdrafts .
According to the website, the demand for
secured personal loans has increased significantly in the past six months.
Sean Gardner, chief executive of the firm, said: Anyone who is juggling a range of debts with
money owed on
credit cards, store cards and
loans should be acting to get their debts under control.
It is encouraging that so many people have taken action as you can make significant
savings by moving all your debts to one place.
He added that the average
unsecured personal loan is much cheaper when compared to the average
credit card and that, because of this, anyone
consolidating could cut their monthly
interest bill.
Last week, unbiased.co.uk found that
personal loan debt increased t0 £9.8 billion in 2007.
