One million bills missed in january, says MoneyExpert.com

More than a million bills remained unpaid in January as people woke up to the financial reality of the aftermath of Christmas spending and an early salary payment in January, says MoneyExpert.com. The financial comparison site predicts that many of the 1.145 million bills will remain unpaid well into February.

Credit card bills are most likely to be a struggle, with 332,500 people likely to miss a payment. Some 73,900 loan repayments are likely to be missed, as well as mortgage and car insurance payments (36,950 apiece). Other bills that are likely to be missed include utilities, council tax, rent, telephone, mobile and broadband bills. MoneyExpert suggests that consumers make arrangements so they don’t end up paying for these missed bills. Missing a credit card payment is likely to set you back £12, and a court summons could be the price of missing council tax payments.

According to MoneyExpert.com’s research almost ten per cent of adults have missed a credit card payment in the last year. This means some £47.8 million in fees in 2006. While missing one bill may not seem important, charges and interest will continue to mount up, creating a big potential problem. And there’s more inconvenience that could result. Miss a telephone or internet bill and you could find yourself without those vital services, leading to even more hassle and frustration.

So, what should you do if you’re struggling financially?

Sean Gardner, Chief Executive of MoneyExpert.com, advises: ‘January is the most popular time of year for people to review their finances. If you can’t afford to pay all your bills, you might need to consolidate your debts or consider a more affordable repayment plan. Our advice is to tell your bank or service provider if you are struggling. The more honest you are, the more they’ll want to help.’