Debt - Sainsbury's: Most pay Christmas debts within a month - 15/01/2008

The Christmas overspend might not be as bad as some analysts have feared, new figures from Sainsbury's suggest.

According to the credit card provider, around 61 per cent of British adults - over 25 million people - expect to clear their festive expenditure by the end of this month.

This contrasts favourably with the one per cent - or, 483,000 - who think that it will take them over a year.

Recently, accountants Grant Thornton issued a warning regarding the state of personal debts in the UK - and predicted rises in insolvency numbers in the first three months of the year.

Head of cards at Sainsbury's Donald MacLeod said that the study also pointed to the increasingly central position that credit cards are taking in the annual Christmas spend.

"We estimate that around 18 per cent of Christmas spending was placed on credit cards," he said.

"Our research indicates that around 8.6 million people intended to put half or more of their festive spending on cards."
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