January will be ‘the hardest yet’ for our finances, say 84% of Brits
- A national survey shows that 84% expect this to be the worst month ever financially
- More people are expected to seek financial advice this year, Building Society says
- A third of customers said they would face additional debt burdens this year
This week will be the ‘most painful’ in January, with people more likely to reach the ‘tipping point’ and seek help managing their money, a new study shows.
Four in five people also expect January 2024 to be the ‘worst ever’ for their personal finances as the cost of living crisis continues, says Nationwide Building Society.
Meanwhile, 46 percent said they are more likely to seek financial advice this year, with many facing money problems as they wait for their first pay packet.
A third of 2,000 Nationwide customers surveyed said they will face additional debt burdens in 2024, while two in five say higher energy costs during winter will weigh them down.
Debt headaches: More than half of people prefer to seek personal financial advice
More than half say January is the time of year that causes them the most financial stress, as holiday spending is higher than normal.
With a combination of factors increasing financial difficulties this month, more and more people will be seeking help dealing with their finances in 2024, with almost half of respondents considering financial advice.
In London, money pressure appears to be increasing: 63 percent of people indicate that they are seeking support more often than in previous years.
Mandy Beech, retail director at Nationwide, said: ‘Having the opportunity to talk to someone about concerns or concerns has never been more important than now, given the continued pressure on the cost of living.
‘We see it time and time again in our branches and that’s why we offer cost of living support – both in the branches, on the phone and online.
“We are fully prepared to support customers this winter as more and more customers come under financial pressure. ‘
When it comes to financial advice, respondents emphasized the value of speaking to someone in person.
More than half said they preferred to speak face-to-face, with this figure rising to 65 percent among people aged 18 to 24.
Beech: ‘Because we still believe in face-to-face service and have listened to our customers, we have committed to keeping all our branches open at least until 2026.
‘We also have a branch manager in every branch, because for many there is no substitute for physical reassurance.’
Being overwhelmed and confused by online support tools was the most common reason for wanting personal advice, the research found.
Stress about debt and money management, fear of scams and the consequences of death or health problems also weighed on respondents.
“When it really matters, whether someone needs help with money worries or bigger life events like a first mortgage or the sad loss of a family member, our customers know we will be there for them no matter how they choose to use us,” Beech adds.