| Many people think that debt is caused by people that | | | | pay off your debt sooner. If you are earning less, |
| just can't control their spending. This does happen but | | | | and many people are, then you need to look at the |
| there are many other reasons why people suddenly | | | | things you pay for month by month and see where |
| find themselves in debt. | | | | you can cut back. You may have to be a bit creative |
| People in debt often think that they can't cope | | | | in finding ways of spending less every month. |
| because there is no hope of getting out of their | | | | Debt for some people can arrive suddenly if you |
| situation. If you find yourself in this situation then | | | | have recently separated from you partner, or if you |
| there are actually a lot of things you can do. The | | | | lose your job. If this is the case then the credit |
| main thing is not to panic and take time to work it | | | | companies advise people to tell their lenders by |
| out making positive steps to helping yourself get out | | | | sending a letter explaining their situation. This quite |
| of debt. | | | | often helps because mortgage companies have great |
| The first thing to do is to be honest with your | | | | difficulty in taking money from people that simply |
| situation and find out exactly how much your debt | | | | don't have much. It is usually far better for them to |
| you are in. You need to sit down and work out how | | | | work with you to help you repay your debt so that |
| much money you owe and how much you have to | | | | they get their money, even if it takes them a bit |
| pay on a monthly basis. This includes all the things | | | | longer. The three credit companies Experian, Equifax, |
| you buy. By looking at a bank statement for a typical | | | | and TransUnion give good advice about coping with |
| month you will see the things you spend your money | | | | debt. |
| on. You then need to work out how much money | | | | So if you find yourself in debt, don't panic. Be honest |
| you earn on a monthly basis. This will tell you if you | | | | with yourself about your situation and be |
| are spending more than you earn. If you are breaking | | | | constructive by thinking of the positive things you |
| even or earning more then maybe you need to think | | | | can do to help yourself get back on the right track. |
| about cutting back and putting some money aside to | | | | |