Proportion of Scottish homeowners asking for debt help increases by a third

The proportion of Scottish homeowners seeking debt help has increased by 33 per cent over the past five years, a new report has found.

According to yourwealth.co.uk, the Debt Advisory Centre in Scotland, which put together the report, said that the percentage of homeowners looking for help with their debt problems has increased to 28 per cent this year. This is an increase from 21 per cent, which was the figure from when the financial crisis began in 2008.

Pay rises have been frozen due to the financial crisis but the cost of living continues to rise. This is causing problems for many homeowners, who are struggling to cover vital costs and worry that they may lose their home.

There are also concerns that interest rates will start to rise over the next few months, because at the moment they are at a historic low. When they do rise, it is likely many more homeowners will seek out debt help.

Melanie Taylor from the Debt Advisory Centre said: “Problems with debt are always worrying, but they can be even more serious when you fear you may lose your home. Thankfully there is nearly always something you can do to stop things getting to that stage,” reports myfinances.co.uk.