In addition to those that have overstretched themselves during the era of cheap credit there are also those that are now suffering redundancy or reduced business/bonuses/commissions.  The situation does not look good (and that was even before Alistair Darling’s ill-chosen remarks about the economy being in the worst shape for 60 years – rationing anyone!)

Debt charities are stretched to breaking point by the numbers of people seeking help.  This only increases the danger of desperate people falling prey to the many companies that would take advantage of them.

My advice is to hold on for free advice and help that you need to deal with your debt problems.  If the local Citizen’s Advice Bureau has a 3 month waiting list to see a money adviser then get on the list.

Checkout one of the companies that don’t charge upfront fees for their debt advice.

Most importantly remember that being unable to pay your debts is not a crime in the eyes of the law.  Don’t be too hard on yourself.  Try and relax a bit (I know this is hard) and believe that there is a life after debt.  I’m living proof of it!