A quarter of those retiring this year will do so with outstanding debts according to a report from the Prudential.
Mortgages are one of the largest sources of debt for retirees, and almost 40% of those expecting to retire in 2017 will do so owing money on their property. Credit card debts too will be a concern, with 51% of this year’s retirees having to repay money on a credit card.
Paying Off Debts
On average, retiree debts will stand at around £24,000 this year, the highest amount since 2012 when this number reached £38,200. The Prudential have said that it will take approximately 3 and a half years to pay off this amount, with one in six expected to take 7 years or more to pay them off, and one in fourteen expected never to pay them off. More on the Prudential’s report and the money struggles of retirees can be found on The Guardian website.