Over half the UK population suffer unforeseen financial occurrences, yet research out from Lloyds TSB shows only 20% of people are able to use their savings to pay for UFOs.
To help customers manage annoying UFOs, Lloyds TSB now gives customers the option to ask for a one month break from making their personal loan repayments at a time that suits them.
Over half of those surveyed estimated that they spend between 200 and 600 on UFOs annually, with one in ten saying they have had to fork out over
The most common ways that people say they pay for UFOs are:
Five out of ten use their credit card
Two out of ten use their savings
One in ten have enough in their current account to cover the cost
One in ten resort to borrowing the money from their partner or family
Jason Nichols, consumer lending manager at Lloyds TSB, says: Its an
unfortunate fact of life that every now and again we all suffer from
unforeseen financial occurrences.
“When our customers experience a UFO they want the ability to be able to choose what is the best way for them to pay for it, taking into account their financial situation at that time.
Our research shows 75% of our customers would like to have the option of a
loan repayment holiday to help pay for UFOs and 69% say it would help them
to manage their money better.
The most common UFOs are:
Between 1,000 and 2,000 for a new boiler
Up to 1,000 for unexpected car repairs
Around 500 for emergency household repairs such as plumbing
Around 500 to replace a TV or CD player that breaks
Anything from 100 to 1,000 on emergency dental treatment
Customers taking out a loan with Lloyds TSB also benefit from the ability to
defer the start date of their loan repayments by three months, change the
date when payments come out of their accounts and make ad hoc payments to either shorten the life of the loan or to catch up on payment holidays.
Lloyds TSB Personal Loans also offer same day money and terms of up to seven years.