Consumer comfortable with their borrowing
According to one industry professional consumers in the UK are quite happy with their borrowing, and are keen to utilize financial tools such as consolidation and homeowner loans in order to better manage their finances and to help maintain their lifestyles.
Marketing Director at Picture Financial, Julie Dallimore, stated that consumers usually made the most of this type of finance by using it to make budgeting and debt management more effective, and to ease financial strains on a day to day basis.
According to Ms Dallimore consumers in the UK were largely comfortable with their debt and borrowing levels, and many of them used loans such as secured loans to help to maintain their standard of living and ease financial strains. However, she did go on to say that despite this encouraging news, both consumers and lenders were responsible in insuring that borrowing did not get out of hand and loans were not take irresponsibly.
Ms Dallimore stated: "It is becoming increasingly apparent that people are finding it difficult to fully understand the terms of their financial agreements and the number of options that are available to them to better manage their money. It is vital that consumers are completely clear about what they are trying to achieve when taking on extra borrowing, whether it is trying to pay off their existing credit in a shorter timeframe or reducing their monthly repayments for greater financial freedom."
She stated that consumers need to carefully review their financial situations before making any long term financial commitments, and that lenders need to review applications carefully and ensure that they are lending responsibly.
She added: "A reputable company will take the time to get a comprehensive picture of an individuals’ overall financial situation and ascertain what level of borrowing is suitable for their needs."
Tom Smith
28th May 2007
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