An 8% rise in the number of Perth residents struggling with debt may just be the tip of the iceberg, claims a city councillor.
The average borrower in Perth owes more than £13,000 in unsecured debt, as increasing numbers of residents scrape to meet their living costs.
Figures released by StepChange Debt Charity show that their helpline was contacted by 213 people from the Perth postcode area during 2014, compared to 197 in 2013.
The charity’s figures show household budgets did show slight signs of improvement, with those contacting the charity from the Perth area an average of £35 better off than the previous year. However, the average person had only £62 left to put towards their debts after covering their essential household bills each month.
The charity stated that the average person owed £13,282 in unsecured debt, such as credit cards, personal loans and overdrafts.
Perth city centre Lib Dem councillor Peter Barrett said: “I suspect the increase in people contacting the advice helpline is just the tip of the iceberg and a larger number of people may only be one large bill away from financial difficulties.
“The impact of spending for the festive period will be felt for some families, as bills and credit card payments now become due. This can cause enormous stress and anxiety.”
In December, The Courier revealed how crushing debt faced by residents in Highland Perthshire had left some with suicidal thoughts.
About a third of those who had contacted the Christians Against Poverty (CAP) debt counselling centre in Aberfeldy admitted to considering taking their lives when they first called for help.
Mr Barrett continued: “If people are worried about the debt they have run up, a deluge of bills or a large unplanned bill, it is vitally important that they seek early advice about how to manage their way back to stability.
“Don’t stuff the bills in a drawer, or refuse to open the envelopes, don’t look to pay-day lenders for a quick fix but contact bona fide sources of advice, like the Citizens Advice Bureau or StepChange, for help and support to regain control over finances.”
In August, Perth Citizens Advice revealed residents with total debts approaching £10 million had turned to local services over the previous 12 months.
It found that stricken people increasingly had no past history of monetary woes, while the largest increase in those seeking help came from those in employment.
The chief executive of StepChange debt charity, Mike O’Connor, said: “For those living on the edge of their financial means, taking control of the situation can seem a daunting, if not impossible, prospect, but taking positive steps towards tackling debt is crucial to getting back on your feet.”