Credit Action stats out for Dec

WTF?_2

http://www.creditaction.org.uk/december-2008.html

Total UK personal debt

Total UK personal debt at the end of October 2008 stood at £1,455bn. This has increased 4.7% in the last 12 months which equates to an increase of ~ £64bn.

Personal debt has forged ahead of UK GDP which, according to latest available data, currently stands at £1,410bn having increased by 5.1% over the past year.

Total secured lending on dwellings at the end of October 2008 stood at £1,220bn. This has increased 4.5% in the last 12 months.

Total consumer credit lending to individuals at the end of October 2008 was £235bn. This has increased 5.5% in the last 12 months.

Total lending in October 2008 grew by £1.3bn; secured lending grew by £0.5bn in the month; consumer credit lending grew by £0.8bn.

Average household debt in the UK is ~ £9,633 (excluding mortgages). This figure increases to £21,952 if the average is based on the number of households who actually have some form of unsecured loan.

Average household debt in the UK is ~ £59,630 (including mortgages).
Average owed by every UK adult is ~ £30,398 (including mortgages).
Average outstanding mortgage for the 11.7m households who currently have mortgages now stands at ~ £103,903.

Britain's interest repayments on personal debt have soared to £95.9bn in the last 12months. The average interest paid by each household on their total debt is approximately £3,930 each year.

Average consumer borrowing via credit cards, motor and retail finance deals, overdrafts and unsecured personal loans has risen to £4,911 per average UK adult at the end of October 2008.

During 2008 Britain's personal debt has increased by ~ £1 million every 9 minutes.

Yep - we definitely need to borrow more, underwritten by the state if necessary. Gordon certainly has come up with a genius plan to get us back to prosperity through more borrowing.

Jimuth

!!!!!!? wrote: »

Average household debt in the UK is ~ £9,633 (excluding mortgages). This figure increases to £21,952 if the average is based on the number of households who actually have some form of unsecured loan.

What's the difference here?

WTF?_2

Jimuth wrote: »

What's the difference here?

One is the average spread over every household, the other is the average spread over only the households who have unsecured debt.

I think there are quite a few people in way over their heads in unsecured debt by the looks of things. Bad news for them, probably worse for the lenders who were stupid enough to give them the credit.

Really2

Not knocking the figures but

Mortgage lending (and lending in general) is at an all time low.
How the hell did the figures go up

Cannon_Fodder

(excluding Mortgages), so the unsecured debt, stated as £235Bn...

£9,633 is dividing the total of unsecured debt by all households (25 million or therabouts) for an overall average across the population/country.

£21,952 is dividing the total of unsecured debt by those households who have actually got some unsecured debt, to show what they share between them.

It appears.


Damn, I refreshed before posting to check it wasn't duplication...

Really2

!!!!!!? wrote: »

One is the average spread over every household, the other is the average spread over only the households who have unsecured debt.

I think there are quite a few people in way over their heads in unsecured debt by the looks of things. Bad news for them, probably worse for the lenders who were stupid enough to give them the credit.

Given that people who do not have a property can not secure a debt.
It stands to reason most unsecured debt would be to people who do not own/mortgage a property.

Not every one renting is as switched on as the people who post on here.

WTF?_2

Really2 wrote: »

Given that people who do not have a property can not secure a debt.
It stands to reason most unsecured debt would be to people who do not own/mortgage a property.

Not every one renting is as switched on as the people who post on here.

I don't think you can draw that conclusion at all - credit card debt is unsecured whether or not you own your property, so are personal loans and overdrafts.

Anyway, I don't think that was the point of the stats. They were illustrating how much the average person who has unsecured debt owes. I find that more interesting that simply taking the total debt and spreading it across the total population as is usually done.

(However, taking the total debt and spreading it across the total population seems to be what Gordon & Co. are intent on doing, by hook or by crook.)

Cannon_Fodder

Some of the original figures come from here, it appears;

http://www.bankofengland.co.uk/statistics/li/current/index.htm

The total has gone up over 12 months, but it appears September was the peak at £1457Bn... http://www.bankofengland.co.uk/statistics/li/2008/Sep/index.htm

Credit card history looks relatively flat compared to the House Lending growth graph;

kennyboy66_2

I love this site, because you can actually dig some hard evidence out by looking at previous reports and trends, rather than the trite anecdotes trotted out in some of the media.

For example.

Total personal debt in Sept £1457bn
"""""""""""""""""""""""" Oct £1455bn

So it actually fell during the month whereas, in at least the previous 3 years, total debt has increased in Oct compared to Sept (usually by £8-10bn)

And look at this;

Credit card debt (usually the most expensive of people debts)

Oct 2006 £55.4bn
Oct 2007 £54.4bn
Oct 2008 £53.1bn

And this despite people supposedly have to use their credit cards to pay for essential expenditure.

Must be all the those people cutting back on champagne breakfasts & celebrity lifestyles.

Really2

!!!!!!? wrote: »

I don't think you can draw that conclusion at all - credit card debt is unsecured whether or not you own your property, so are personal loans and overdrafts.

Anyway, I don't think that was the point of the stats. They were illustrating how much the average person who has unsecured debt owes. I find that more interesting that simply taking the total debt and spreading it across the total population as is usually done.

(However, taking the total debt and spreading it across the total population seems to be what Gordon & Co. are intent on doing, by hook or by crook.)

I know what unsecured means.
I was just stating a point. A house holder may be more likely to use a secured loan because it is generaly cheaper.
I was unaware that overdrafts and CC's were clased in the unsecured loans that is all.

Dithering_Dad

Average household debt in the UK is ~ £59,630 (including mortgages).
Average owed by every UK adult is ~ £30,398 (including mortgages).
Average outstanding mortgage for the 11.7m households who currently have mortgages now stands at ~ £103,903.

OMG!

My outstanding mortgage (£108,263.32) is £4360.32 OVER the average!
My household debt including mortgage (£108,263.32) is £48,633.32 OVER the average!
My average UK adult debt including mortgage (£108,263.32) is a whopping £77,865.32 OVER the average!!

:eek: :eek: :eek: :eek: :eek: :eek: :eek: :eek: :eek: :eek: :eek:

But let's just calm myself down here a mo, shall we...

My house is worth about £300k. Our combined pensions (mrs Dither n me) are worth £100k, other savings and investments amount to about £30k.

So even though I am a right shocker on those bare statistics (including mortgage debt) and look like I'm a complete basket case...

my net worth is actually +£321,736.68. Phew !!!!!! had me worried there for a moment. Bailiffs, get back on stand-by, we don't need you just yet.