Given that credit has been easily available in recent years, it is “unsurprising” that many people have been lulled into a false sense of security and are now waking up to financial difficulties, an expert at Transact has said.
Jamie Elliott, coordinator at the network committed to promoting financial inclusion, agreed that the economic downturn is hitting the middle classes and “an increasing number of people are finding that their sums no longer add up”.
He pointed out that credit has been widely obtainable in the past few years, with lenders offering 100 per cent mortgages, as well as attractive terms on loans and credit cards.
This comes just after the organisation reported that it is seeing a growing number of middle class people turn to it for financial help.
Mr Elliott commented that their difficulties are “compounded by big increases in food costs and energy costs”.
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