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Personal loans applicants 'calling on mum and dad'

Published: 19 September 2008 in Unsecured Loans

A greater number of young Britons are asking for the help of their parents in guaranteeing personal loans and other forms of credit, it has been claimed.

Financial comparison website moneysupermarket.com suggests that 15 per cent of Londoners and 11 per cent of consumers nationwide have relied on parental help.

Among those aged in their 20s, however, the figure leaps to 23 per cent who have relied on their parents to access personal loans or other credit.

Tim Moss, head of loans at moneysupermarket.com, says: "It has been common for mum and dad to be tapped for some financial help towards a first home.

"But more and more parents are being asked to act as guarantors on a range of credit applications."

He suggests that loans and mortgages are two of the areas on which parents could be named as guarantors.

The price comparison service previously suggested that those with money to save over the past 12 months have seen savings account interest rates continue to rise despite a falling base rate.

JST Financial Unsecured Personal loan Specialists catering for good and adverse credit for tenants and homeowners.ADNFCR-1432-ID-18787553-ADNFCR

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