Seeking help ‘best way to tackle debt’

People who are struggling with debt will find they do better by looking for help than they will if they bury their heads in the sand and ignore the problem.

Annie Shaw, director of CashQuestions.com, said people who have money problems should not see this as "shameful" or "embarrassing" and shy away from admitting there is a problem.

She added: "You're not alone and the sensible thing is to get some help, rather than getting yourself more and more into debt by borrowing more and really having no hope of paying it back."

Ms Shaw advised those who might pile up credit card debt that although current trends suggest people are spending less on large purchases with plastic, all the smaller items they pay for using credit will still add up and ultimately leave a large bill.

Getting control of debts is increasingly a priority for consumers, according to a poll published by GfK NOP on behalf of the Financial Services Compensation Scheme last month.

It found 30 per cent of consumers have high-interest debts, but 81 per cent are trying to pay these down.

By Joe White