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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`

ISA rate cuts could raise debt risk

09/06/2009

Several banks and building societies have withdrawn their most generous ISA (Individual Savings Account) rates from the market, The Telegraph reports.

With the base rate held at 0.5% for the third consecutive month, many savings accounts currently offer very little in the way of interest.

ISAs, however, have still offered relatively high interest rates in recent months, but it seems many of the best rates are now being withdrawn.

In particular, this could affect people who rely on savings interest to supplement their income, who may find that their returns are significantly lower than in recent years.

A spokesperson for Debt Advisers Direct said: "Savings can be important regardless of the interest rate, but in the current climate it may be a good idea to consider whether any `spare` money could be better used - for overpaying debts, for example.

"However, so long as the saver is sure they can comfortably meet all their commitments, saving is still a good idea. Savings offer protection against debt, and it`s worth putting money aside even when interest rates are low."

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Debt Advisers Direct offer free debt advice and a range of debt solutions, including debt management plans, debt consolidation loans and IVAs (Individual Voluntary Arrangements).

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