One Million Brits Use Payday Loans to Cover Bills Every Month

One Million Brits Use Payday Loans to Cover Bills Every Month PR Newswire LONDON, September 14, 2012 LONDON, September 14, 2012 /PRNewswire/ -- 28 per cent of Brits use credit cards, overdrafts, payday loans and other loans to cover the cost of household bills each month Brits borrow £2 billion every year from payday lenders to cover essential household bills Nearly 14 million (28 per cent) people in the UK are borrowing money to cover the cost of household bills in a typical [1]month, according to new research from the Santander 123 account. Instead of using money from their current account, Brits are borrowing £3.6 billion each month* to meet the cost of gas, electricity, council tax, water and other household bills, which is equivalent to around £259 for each person borrowing money. While millions are turning to lower cost borrowing such as an arranged overdraft, the research raises concerns as more than a million people (2 per cent) collectively borrow £2 billion** every year, or £153 each per month, from payday lenders to cover these basic monthly bills. The most popular source for finding additional money is an overdraft, with around 17 per cent of UK adults using this service each month to pay their bills, borrowing an average of £264 each, more than any other source.