« Daily Debt Tips Home
How Long Before You Run Out Of Cash?
The average person’s savings would last for 52 days if other income ceased, a report by the Yorkshire Building Society has suggested.
The report was published to publicize their payment protection services by way of highlighting the potential debt management crisis sweeping the nations households.
The Monthly outgoings are £1,445 for the average person, but they only have £2,474 in savings to which they have easy access.
Over 1/3 of people would be run out of money with 11 days. These are the 36% of people with less than £500 of savings.
Women do worse than men; nearly 40% have no financial back-up should they be unable to work or lose their job. On average, women have annual outgoings of £16,900 but only have about £2,000 in savings. Men are a bit better, with annual outgoings of around £18,100 and just over £3,100 in savings.
The report says that 5 per cent of people think they will be able to sell their home if they ever needed ready money. But current market conditions, with house prices falling at their fastest rate for 10 years, mean people cannot rely on this as an ‘emergency bail-out’.
