The Top 5 Reasons People Get Into Debt

No. 1 :  REDUCTION OF INCOME

What goes up must come down, but the old saying doesn’t seem to apply to living costs.

Huge numbers of us are in financial trouble, as no matter how we seem to work, there’s never enough cash to go round and every month the same things we buy seem to cost even more.

Many people have money problems because they have less money than a couple of years back, even though they are working.

Those on fixed incomes, like pensioners, are even worse off because they can do nothing to try to earn more.

Everyone’s feeling the strain – the government, employers and families. Cuts are working their way through the system, and for many, they have resulted in less money to spend.

Employers can’t afford to increase pay and have slashed overtime or many workers have had to accept less hours or a change of role to something less lucrative.

At the same time, prices, especially fuel and VAT have soared, meaning you have to spend more to buy the same.

You cannot afford to ignore the banks and credit companies that have lent you money.

Not talking to them by ignoring calls and letters won’t help. They do not know you have money problems unless you tell them.

You can either do this yourself or contact a debt adviser for help.

A financial management plan is the solution for many who are struggling with money. A plan does not wipe out any debt, but gives the borrower enough cash to meet their important monthly bills, like housing costs, food and fuel, while sharing the rest among creditors.

For those in more serious financial problems, like mortgage arrears or large amounts of debt, other options are available.

These include coming to an arrangement with your creditors, or as a last resort, bankruptcy.

Speaking to a debt advisor should put a brake on your financial problems and give you breathing space to work out the best debt solution for your personal circumstances.

If you have money problems because your income has gone down, don’t bury your head and hope they go away, because they won’t.

A Fresh Approach to Your Finances

Everyone needs financial help at some time. Whether you’re looking at obtaining credit, saving on your utility bills or have existing debt, we aim to assist anyone who wants or needs help with organizing their financial lives. Whatever your circumstances we offer a range of solutions and will find the most appropriate one for you.  Money Debt and Credit believes that every client has a right to appropriate financial advice. We offer a fresh and simple approach and our advisors are dedicated to making sure you receive the highest level of service. They can offer a personal solution, tailored to fit your circumstances, now and in the future.

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