Debt difficulties ’cause 1 in 10 to go without food’
Debt problems are causing one in ten British families to go without food new figures indicate.
A study by children’s charity NCH and Barclays revealed that some ten per cent of households have had to go without food as they are unable to afford to buy it.
Meanwhile, 11 per cent of families have been too poor to buy over-the-counter medication, reports the Metro.
As a result, many of these consumers were reported to be unable to access competitively-priced loans and are forced to seek out unscrupulous lenders.
An NCH spokesperson told the publication: "Some people who get turned down for loans then turn to loan sharks and don’t realise that 177 per cent APR [annual percentage rate] is an extraordinarily high amount.
"We need to give people that understanding so they don’t fall into that trap."
The study also indicated that 56 per cent of people earning under £15,000 per year do not understand financial terms such as APR.
Last week, an Aegon survey of independent financial advisers revealed 71 per cent of respondents believe that consumers are set for a "significant reduction" in their standard of living upon retirement - as they struggle to meet utility bill costs and make loan repayments.
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