Potential debt victims 'should seek advice'
A charity which deals with those concerned about falling into debt due to personal loans and credit cards has told Brits to seek advice before things get out of control.
Those who think their personal loan or credit card debts could spiral out of control should seek advice at the earliest opportunity, according to one charity.The Money Advice Trust (MAT), which offers financial advice to households dealing with debt, said that debt is on the rise due to the recession and many people will find their income less secure than it used to be.
Recent research by Credit Action showed that total UK personal debt was at £1,458 billion in June 2009, with each household carrying an average of £9,240 on secured loans and credit cards.
Responding to these figures, Beccy Wilks, spokesperson for the Money Advice Trust, warned that Brits should get help as soon as possible if they are dealing with debt in order to get it under control before it becomes unmanageable.
The charity received 41,000 calls over the last month from people needing help to sort out their financial worries and problems, the highest figure since MAT was founded in 1991.
Ms Wilks said: "When getting debt advice you want to know about everything including the pros and cons and you need to get complete information on how all options of debt handling are going to affect you, rather than just looking at debt management plans, consolidation loans or an individual voluntary arrangement."
"It is vital you get help earlier rather than later," she added.
Tom Howard, a spokesperson for Consumer Credit Counselling Service (CCCS), recently said that shifting debt from one credit card to another is an indication of impending trouble meeting repayments.
He added that those realising they are getting into credit card debt should seek help from free independent services such as the CCCS or Citizens Advice as well as contacting the lender.
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