One in six would have to borrow to cover an unexpected £200 bill

One in six people - equivalent to 8 million men and women - would have to borrow money if they had to make an unexpected payment of a couple of hundred pounds.

According to research by budgeting account provider thinkmoney, many people struggle to cope with payments that come out of the blue. One in five respondents to our survey (more than 10.5 million people) said they would be able to find £200 at short notice - but would have to make cutbacks elsewhere.
 
Meanwhile, 9% said they would have to borrow from friends and family to pay a £200 bill and 8% said they simply wouldn't be able to cope.
 
If you had to make an unexpected payment of £200 (perhaps for a domestic emergency) how would you cope?

I would be able to fund the £200 from my day-to-day budget without a problem 25%

I would be able to fund the £200 by dipping into my savings 22%

I would be able to fund the £200 by cutting back on other expenditure 21%

I would take out a loan, pay on my credit card or use an overdraft 16%

I would find the £200 with help from friends and family 9%

I wouldn't be able to cope with finding the extra £200 8%

Older people are far better at funding unexpected payments. thinkmoney's research found that 47% of the over-65s could pay a £200 bill without any problem, compared with just 9% of those aged between 18 and 24.
 
Across the UK, it seems Scots are the best at managing their day-to-day budgets - 34% said they could easily find £200 for an unexpected payment. However, just 12% of respondents from Northern Ireland and the North East of England said the same.
 
Ian Williams, director of communications at budgeting account provider thinkmoney, said: "Coping with bills is part of everyday life but it's the unexpected payments that can cause real problems. Having a budget - and sticking to it - can help to avoid unnecessary financial pain."