IS THE COST OF A BROKEN HEART
(30 March 2006)
a relationship breaks down, it is not only the heartstrings that
can be strained. Research from Alliance & Leicester Personal
Loans shows that splitting up from your sweetheart can not only
be emotionally difficult but also a financial burden, with the cost
of starting a new life outside of that relationship potentially
lasting a lot longer than it takes to mend a broken heart. While
recent celebrity break-ups have involved astronomical seven figure
settlement deals, the cost of setting up home again and replacing
any jointly owned items in the UK is a lot more modest, but is still
thought to ring-in at over £13,500.
1% of those surveyed, who have made joint purchases in the past,
have considered signing or have signed a contract to detail how
their purchases would be divided following a split. Three per cent
have verbally agreed what they would do if the relationship were
to end, but a massive 92% assume they would be able to divide goods
fairly after a split or have optimistically never even thought about
research found that that one third of people (33%) said that they
would only make joint purchases with a partner if they were married
to them, and nearly half (47%) only if they were in a long term
research also showed that Brits are prepared to make significant
joint purchases together when in a relationship, with nine out of
ten (89%) people making major joint purchases with their other half.
findings showed that:
almost two thirds (63%) have bought a bed together during a relationship
over half (55%) have jointly bought a car
half (56%) have splashed out on carpets with their partner
6 in ten people (59%) have bought an expensive fridge freezer
55% of people have bought CDs or DVDs together
over a third (36%) have taken on pets which is a lot more
than just a financial commitment.
Alvey, Personal Loans Manager for Alliance & Leicester, commented:
"It is understandable that most couples buy things together,
whether it is a major purchase like a new car or minor purchases
like CDs or DVDs, without thinking about what might happen if one
day they split up.
if a couple separate it is going to be hard on the wallet as well
as the heart. There are serious emotional issues that are quite
rightly are at the top of the agenda, especially if children are
involved, but the cost of splitting up can last longer than the
taking out a personal loan to help them set up home again could
be set for even more heartache if they dont choose the right
deal. Alliance & Leicester reveals that choosing a personal
loan with a higher interest rate from a big bank, could put unnecessary
strain on their purse-strings by paying over £1,400 more in
interest than with a low rate personal loan.
Alvey continued: "Many people will need to borrow money to
help them start afresh and replace any items bought jointly which
the other half has kept. Splitting up is never going to be easy,
and in an attempt to move on from the relationship it
would be easy to choose the wrong deal.
choosing a personal loan with an uncompetitive interest rate people
could overpay by more than £1,400. This could be even more
costly if they decide to use more expensive store cards or credit
cards to make essential purchases. This overpayment could seriously
affect your ability to enjoy your new single status."
out a low-rate personal loan to help get back on track after a relationship
break-up, can be a viable option. A personal loan gives the discipline
of monthly repayments, a defined end date to the debt
and low monthly repayment plans.