Many Face 'Lifetime of Debt'
Citizens Advice says some of their clients would need 75 years to pay off their debts
25th May 2006
National charity Citizens Advice have released new research suggesting that more and more people are sinking deeper into debt which will take them a lifetime to escape from.
The charity's debt clients owe an average of £13,153 - representing over 17 times the average monthly salary. If they entered into a realistic repayment program that they could afford, it would take an average of 77 years to repay their debts.
The problem is most severe among those in low incomes, says the charity, where the combination of poorly understood and badly informed financial decisions are leading to unpayable debt levels.
The charity is calling for a new, cheaper, form of insolvency to be made available for people with sizeable debts who habe no realistic prospects of clearing them yet can't afford IVA or bankruptcy.
Read More: Citizens Advice report warns that many now face a lifetime of debt
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