Wednesday 15th of July 2009
Debt management plans may be required by an increasing number of Britons over the age of 50 after concerns have been raised about their retirement.
Approximately two million individuals aged 50 or over claim they have had to put their retirement on hold because of a lack of cash to live comfortably, research by LV= showed.
One in five senior Britons now contribute an average £137 a month less to their pension pot. Everyday costs such as food and utility bills are the biggest concern of respondents.
However, individuals with a number of credit cards and loans obtained years before the economic downturn may now be struggling to keep up with repayments. A debt management plan could, however, extend the repayment period of borrowings, which may allow any spare cash to be put towards retirement.
"In the midst of recession, it is understandable that people are focusing more on their everyday costs and on supporting their families," said Mike Rogers, LV= group chief executive.
Recent research by Confused.com found that credit card and loan repayments place an average £232.90 monthly burden on households.
By Rachel Powell
