nubile young white women all need money now

Discussion in 'Economics' started by MohdSalleh, Feb 22, 2009.

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    <h2>Women in their 20s running up big debts
    <p><span class="byLine"><font size="2">Alan O'Sullivan, This is Money
    <br />21 February 2009</font></span>
    <br />&nbsp;large proportion of people in their twenties and thirties - women in particular - had to cope with drastically higher loan costs in the latter part of 2008.
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    <td class="imgCaption203"><strong>Overstretched: </strong>Those in their 20s and 30s are struggling to keep debt costs down</td>
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    <p>Some of them may be so short of cash as a result that they are turning to expensive payday loans and high interest <strong><a class="jargon" href="" target="_blank">credit cards</a></strong> for those with bad credit histories to last them until their next pay packet.
    </p> The number of 25-34 year olds spending more than half of their income on unsecured debt repayments has doubled since August last year to one in every 10, according to a study from online <strong><a class="jargon" href="" target="_blank">credit report</a></strong> provider Callcredit. The situation is particularly dire for women in this age group, with 14% of them spending up to half of their income on servicing their debt. This backs-up a study from another credit report provider, Equifax, which showed before Christmas that 38% of women surveyed had been refused credit in the previous six months while 34% said they did not know how they would pay a large bill if they received one unexpectedly. The situation does not look as if it will improve in the near future either: the study by Callcredit also found almost half of UK adults think their financial situation will worsen over the next 12 months. Some of these may resort to 'credit building cards', such as the Vanquis Visa card with a rate of 39.9%, designed for those with poor credit histories who cannot get credit elsewhere. There has been increased interest in these cards this month: online credit marketplace found there was a 75% increase in the number of people applying for these types of cards over the weekend of 2 February in comparison to the week before. Interest in payday loans - short-term loans which can have an <strong><a class="jargon" href="" target="_blank"><strong></strong></a><strong><a class="jargon" href="" target="_blank">APR</a></strong></strong> of over 1,000% - has also peaked over the last year, according to another online comparison site, These extremely expensive loans are a high risk for running up massive debts and should be avoided at all costs. The site found user applications for payday loans had tripled by August 2008 in comparison to the year before. Although applications have not continued to rise at such a dramatic rate, it has found they have remained steady over the past six months. Tim Moss, head of loans at, said: 'Payday loans are the ultimate barometer of how tough things are in much of the real Britain. We saw an explosion of payday loans from January 2008 onwards with more and more people using all of their income on essentials � but still not being able to get through to the end of the month.
    <p>'We will know the economy is starting to recover when the trend starts heading back down again.'