A majority of people across the UK have near immediate access to some form of unsecured credit, which increases the likelihood of being tempted to spend.
That is result of a new study conducted by OnePoll, which found that forms of unsecured credit could include credit cards or overdrafts, leaving many Brits with a large amount of potential cash at their disposal.
Some 66 per cent of people claimed to have at least one credit card, which is one of the most traditionally popular ways of borrowing money.
Credit card users may only have a small amount of credit available to them, but some allow for a large amount of almost instant borrowing.
Indeed, over a thrid (36 per cent) of credit card holders said that had over £5,000 available to spend, while another 14 per cent said their limit was over the £10,000 mark.
Overdrafts are another popular way of accessing credit, with nearly two thirds (62 per cent) of respondents to the survey, stating they had access to an authorised overdraft.
Such measures are usually seen as a safety net to help guard against possible charges, which can accumulate when bills and direct debits leave an account without the right amount of funds.
However, that has seemingly not been able to stop a number of people across the UK from having access to overdrafts with high limits of credit.
An overdraft limit of over £1,000 is available to around a third of Brits (34 per cent), while a further three per cent – which counts for a round 250,000 people in the UK – claimed to have more than £10,000 at their disposal.
Low savings too
While also leaving themselves exposed to potentially unmanageable levels of credit, an increasing number of Brits are also finding it hard to save.
A separate report released by NS&I found that around a fifth of Brits are currently living with just under £1,000 worth of savings, while another 16 per cent said they have no savings at all.
The lack of a substantial cash pot for a rainy day therefore makes the prospect of turning to sources of credit increasingly likely.
It is therefore important that those with limited savings and large credit limits seek advice before taking action on their finances, as making the wrong decision could make it harder to get on top of their finances.