Debt

It's very easy to get into debt when you have little money coming in. It might be that you've overspent on credit cards or borrowed money from friends or family and can't afford to pay it back, or you may have a gambling, drink or drug problem which is putting you into debt. The important thing is to not let your debt spiral out of control.

Make a positive decision to address your debt problems.
Sit down and work out exactly how much you owe and who to.
Prioritise which debts need to be paid off the quickest.
If at all possible, talk to the people you owe money to.
See where you could realistically make cutbacks in your spending in order to make repayments on your debts.
Get advice from someone you trust or contact one of the organisations who deal specifically with debt.

The National Debtline website has loads of really useful advice and information, including budget planners, sample letters to creditors, factsheets and links to other free services. You can also ring their helpline on 0808 808 4000.

If gambling is a problem for you, check out the Gamblers Anonymous site or ring their helpline on 020 7384 3040.

Download 10 Steps to Sorting Out Your Debt (513kb)