Consumers warned to tighten belts ahead of stormy economic climate

Economists say many people started the New Year in debt and must save as much money as possible.

SA consumers are being warned to tighten their belts and spend less. Picture: EWN.

CAPE TOWN - With economists predicting a tough economic climate for 2016, South Africans have been urged to tighten their belts, even further and try to save as much money as possible.

Debt management company Debt Rescue says many people start the New Year in deep financial trouble.

Chief Executive Officer Neil Roets, "The situation currently in South Africa is very bad with regards to debt. Almost half of all credit active consumers are over indebted, meaning they are in arrears with at least three payments on one of their accounts."