IT’S worrying to see that retirees are living uncomfortably with debt and some may feel it’s too late to change their circumstances to get on top of things.
There could also be consumers out there who find their pension falls short of what they were expecting, or that they are still paying off their mortgage, credit card or loan.
It may not be possible for someone to take on work to boost their income in this instance and savings rates are unlikely to give any nest egg a decent boost.
It’s cheap to consolidate debts using a credit card or loan right now, but this may not be the right choice for those who are looking for a more radical fix.
Downsizing may be an option for homeowners, but they may wish to avoid the upheaval of moving home especially if they are in poor health.
Those looking to take advantage of an equity release deal may do so to fund the cost of retirement as it unlocks wealth from their home. But these plans should be considered carefully and independent financial advice would help prospective borrowers weigh up all the options.
Those over the age of 55 who still owe money on their home may wish to look into a retirement interest-only mortgage, where the debt would be repaid on the sale of the property or when someone goes into long-term care or dies.
There are several debt charity advice lines people can call if they are in need of support.
StepChange can be reached on freephone 0800 138 1111 or at StepChange.org.
Consumers can also visit our own site, Moneyfacts.co.uk, for the latest deals and advice.