Silent majority won’t talk about debt 

This can be attributed to leftover economic uncertainty from the pandemic, as well as the cost-of-living crisis stretching household budgets further than they can go.  

Borrowing and debt can often be a source of shame and anxiety for customers, as they feel uncertain about the financial stresses that led them to using borrowing. 

Lowell’s own research shows that over one in five Brits have mental health difficulties caused by money worries. Despite this, 69% of people in debt don’t talk about it with a majority saying it’s because they are embarrassed.

The Autumn 2022 update to the Financial Vulnerability Index shows that average credit usage has risen from 48.7 to 52.7 since the start of the year. 

Lowell CEO, John Pears commented: “The most important thing for customers struggling with debt is to get in touch with us. If you have a problem, require support, a change in repayments get in touch, and we’ll be happy to work on a solution.  

 “The current situation with energy prices and inflation may be new, but customers can experience personal crises and income shocks like bereavement, illness, or loss of work at any time. That’s why Lowell has worked so hard on building a system that makes it easy for customers to flex their payment plans to fit with their situations.”  

“These debts can lead to money worries with 22% of people reporting that mental health difficulties as a result. Rising levels of debt are set to bring on money worries for more and more people.”