Are You Financially Fit, Overweight or Obese ?

A report from Lloyds TSB claims 46% of British adults are ‘financially overweight’, and that 10% are the ‘financially obese’. Lloyds TSB is calling this the Bank Mass Index (BMI) which was developed by Stephen McKay of the Birmingham University.

The BMI is designed to assess financial health based on investments, savings, pensions, home ownership and unsecured debts. The system works out whether the person is financially obese, financially overweight, or financially fit.  Anyone financially obese should seek debt management advice before financial cardiac arrest.

Financially Fit - 42%
Only 42% of people are considered to be financially fit.

Financially Overweight - 46%
The average BMI is 28, placing most people in the financially overweight category, which ranges from 26 to 29. For these people debt by far exceeds savings and they could be stretched to service their debts each month.

Financially Obese- 12%
Such people are over-reliant on debt and tend to spend more than 25 per cent of their gross income paying off unsecured debt.

42% of respondents had no savings at all.

The Scottish are most likely to be financially obese, with an average score of 33, while 51 per cent of Londoners are also overburdened, with an average of 31. The most financially fit are in the South West (25) and Wales (26).

Women are slightly worse off than men with an average BMI of  27.  18-24 year-olds struggle the most with an average of 31 compared with those over 54 with an average of 24.

Lloyds TSB published this data this a press release of standard debt advice and money saving tips.

Being a Lloyds TSB customer since the mid 80s, I find it hard not to be cynical about their concern. I have been fortunate enough not to experience debt problems first hand, however no thanks to Lloyds TSB.

I’m very happy with the banking service provided to me by LLoyds TSB. What irritates me is the constant pressure to get into debt with them. A few weeks ago a was paying in a cheque at a branch where the counter staff tried to tempt me with another credit card !

If find this report at bit like Cadbury’s stating how as a nation we eat too much Chocolate.

If you’re looking to become debt free, then please contact us for free advice as to the best debt solution for your situation.

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