Many more women than men applying for credit

debt

72% of females, compared to just 28% of men, have applied for credit in the last 18 months with the main reason cited for doing so being to make up for shortfalls in income.

The independent research undertaken by fast.Map* of 2,052 individuals for Callcredit Information Group, also revealed that 25% of females apply for credit to cover household goods compared to 8% of males and 22% of women use the money for emergencies compared to 16% of men.

Meanwhile, 7% of females apply for payday loans compared to 5% of men.

Graham Lund, managing director, Callcredit Information Group, said: “It is clear from the research that the financial pressures of day-to-day living are continuing to increase which in some cases is causing consumers to look for additional credit to help cover any shortfall.

“As people look for alternative ways to cope with the strains of a spiralling economy it is ever more important for lenders to have a deeper understanding of customer affordability to help consider the financial pressures they already have.”

Figures also showed that 50% of men, compared to 41% of women, are more likely to have taken out more than one form of credit over the last two years, with debt consolidation as one of the key reasons for doing so.

Lund added: “As the changes to the budget begin to take hold, even more people will begin to feel the pinch and will be looking for ways to manage the rising cost of living. As this realisation hits lenders they must ensure that they continue to uphold responsible lending practices and make sure that even more stringent affordability assessments are in place throughout the lending cycle to help support this.”

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