Christmas debt is still being repaid by 20% of shoppers, almost 8 months after the festive season ended, according to a new survey by GetPaidTo.
Out of the 2,000 people who took part in the survey, 82% of people who spent more than they earned, said they were struggling to repay their debt.
Consumers in the 25-34 year old age category were the biggest spenders with two fifths spending more than they earned.
This year doesn’t appear to be starting any better either, with only 9% putting money into savings from January for Christmas 2015.
Our Christmas Debt Survey
Last year a Debt Support Trust survey found almost half of those people surveyed (42%) said they felt pressured to overspend at Christmas. While 15% of borrowers said they thought they would still be paying off Christmas debt a year later.
We found only 14% had saved money to pay for Christmas, while 61% were going to use money in their current account.
This latest survey appears to confirm our own findings from December of last year when 17% of people said they would borrow money with the intention of repaying it.
The GetPaidTo report found one in five people paid for Christmas using a credit card, while one in ten used their overdrafts to buy gifts.
Dealing with Christmas Debt
There are a number of ways people can deal with Christmas debt but it’s important to do it before the festive season starts again.
Saving money for Christmas may seem extremely difficult, however with the average person telling us they would spend £433, saving £36.08 per month would cover the cost.
Finding deals early in the year when presents are discounted in the January sales can help reduce the overall cost of Christmas too.
If you already have Christmas debt you are struggling to repay please contact Debt Support Trust today and we can advise on the best debt solution for your circumstances.
You can contact us on 0800 085 0226 or take our online debt test.