15 March 2007
A report from the Finance and Leasing Association (FLA) has revealed that while more Britons are taking out financial agreements like secured loans, the majority of debtors are managing their loans "sensibly".
Spokesperson Edward Simpson commented that in general, consumers only found themselves in debt trouble after experiencing unforeseen circumstances which had affected their repayment options.
"Used sensibly, credit is a great enabler because it allows you to manage the peaks and troughs of your spending. Commonly, research has shown that the real trouble is when people encounter unexpected events - divorce for example, or loss of job," he said.
Mr Simpson added that while Payment Protection Insurance (PPI) could be a viable option for some, it was important for consumers to read all of the terms and conditions before signing up to a policy.
Make sure you know exactly what you're getting when you take out a loan. Compare loans with and without Payment Protection Insurance and read helpful information that will guide you through every step of your application. Applying is quick, easy and free - "http://www.uswitch.com/Loans/Secured-Loans.html">make a secured loan comparison now.