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More than 4 million fear they`ll be made redundant Consumers took on more mortgage debt in July Debts called in by parents Teenagers `scared of debt` Rising household costs could pressure people in debt Pensions debt may impact workers` retirement funds Welsh young adults `at highest risk of debt problems` Over 50s can`t afford to enjoy retirement because of debts Budget: tackling the nation`s debt Short-term debt: `no need for price control` The cost of clearing debt Education debt Tackling the national debt Number of mortgage deals on offer exceeds 3,000 Almost 5 million take on debt to pay household bills OECD: household debt more than 120% of disposable income Petrol price falls help people in debt Amount of mortgage debt taken on at lowest level in ten years Northern Ireland sees significant IVA rise Overdraft debt `becoming more expensive`

Interest-only mortgage gap `on the rise`

20/11/2008

There is a substantial and growing mortgage gap on interest-only home loans, it has been suggested.

According to LV=, as borrowers have not been obliged to have an investment plan linked to their interest-only loan since the early 1990s, the number of people opting for such products has risen significantly.

The firm suggests that 41 per cent of interest-only borrowers have no capital payment plans and are relying on selling their home and using the proceeds to pay off their mortgages.

However, falls in house prices may mean that consumers are unable to do this, putting them at risk of debt.

"These people should therefore seriously consider investing as much as they can now and regularly, to help pay off the mortgage capital at the end of the term," stated LV= Group chief executive Mike Rogers.

Meanwhile, figures produced recently by the Council of Mortgage Lenders revealed that 57 per cent fewer mortgages were secured during September this year compared to the same month last year.

More than 4 million fear they`ll be made redundant 16/12/2010 - According to R3`s quarterly personal debt tracker, more than 4 Consumers took on more mortgage debt in July 26/08/2010 - Consumers took on £2bn more mortgage debt than they repaid Debts called in by parents 26/08/2010 - According to research, `the bank of Mum and Dad` is Teenagers `scared of debt` 19/08/2010 - Nearly two thirds of teenagers are `scared` of debt, according