Consumers Becoming More Savvy about Finance
03/10/2008
One of the more positive effects of the credit crunch, according to new research, is that consumers have become increasingly financially literate.
Statistics from Mintel show that one-in-five sub-prime borrowers will be concentrating on improving their credit rating over the coming months. Sub-prime borrowers include people who have been declared bankrupt, or have defaulted on mortgage payments.
Within this bracket, said Mintel, 14% of consumers have recently examined their credit record with a view to trying to improve it.
Toby Clark, senior finance analyst at Mintel, said: "It's clear that sub-prime borrowers are starting to think and act more responsibly when it comes to their money. If anything positive is to come from all this chaos, it is that people are starting to take more of an interest and pay more attention to their personal finances."
The National Debt Helpline reported similar findings. 83% of helpline callers now feel they are more in control of their finances because of better monetary knowledge.
A spokesperson for the National Debt Helpline, Beccy Boden-Wilks, commented: "It's encouraging to see that people are taking a more active interest in their finances and becoming more financially literate. Many people don't understand that the credit system is one of the main reasons why people get into debt."
Statistics from Mintel show that one-in-five sub-prime borrowers will be concentrating on improving their credit rating over the coming months. Sub-prime borrowers include people who have been declared bankrupt, or have defaulted on mortgage payments.
Within this bracket, said Mintel, 14% of consumers have recently examined their credit record with a view to trying to improve it.
Toby Clark, senior finance analyst at Mintel, said: "It's clear that sub-prime borrowers are starting to think and act more responsibly when it comes to their money. If anything positive is to come from all this chaos, it is that people are starting to take more of an interest and pay more attention to their personal finances."
The National Debt Helpline reported similar findings. 83% of helpline callers now feel they are more in control of their finances because of better monetary knowledge.
A spokesperson for the National Debt Helpline, Beccy Boden-Wilks, commented: "It's encouraging to see that people are taking a more active interest in their finances and becoming more financially literate. Many people don't understand that the credit system is one of the main reasons why people get into debt."
