How To Cope With Debt

With the UK consumer debt now exceeding the gross domestic product, it looks as though there are choppy times ahead. The housing market appears to be slowing and food prices are rapidly rising. Add to this the increasing number of mortgage problems and home repossessions, then the need to cut back and economise is increasingly important.

So where does this leave the little guy? Debt is one of the most unpleasant four letter words around. Depressing and consuming every last penny you are able to muster. A small amount of money is gathered together and then there is another outstretched hand wanting it for settlement of another bill. Almost like a bottomless pit.

There are two routes that can be taken in an effort to get out of this ‘pit’ �" the hard route and the easy route.

The hard route has disastrous results. It can involve Consolidation loans �" to be avoided at all costs (sorry for the pun), County Court Orders, the attendance of the Court Bailiff and, worst of all Bankruptcy. Don’t give it a thought. Instead, take the easy route.

The easy route is to review both your expenses out and income in, then making the necessary adjustments to become solvent again. A considerable amount of work is required here, but it is definitely the preferred route. Far better to do this in private at home where you can sit down, think and plan your moves, than having to do this in front of officials at the County Court and under pressure. No contest really.

There are many web sites now offering to ‘help’. Some are very flash with much drum banging and crammed with so-called ‘special offers’ which turn out not to be so very special when the small print or limitations are taken into consideration. The initial loud-mouthed announcement attracts attention but it quickly fizzles out! Not forgetting the charge they all make for ‘helping’ you.

Yes, another bill to add to those you have already collected. Even if you are not actually presented with a bill, remember, there is no such thing as a free lunch and this charge for their services will come in somewhere, maybe as a commission they will levy.

There are also genuine web sites which set out to explain how money can be saved, how to get the best deals when shopping, medicines, recipes, entertaining - some even cover motoring, insurance, banking, property �" in fact just about everything you need to know in the effort to save money.

Many are just set up and left in the hope that these sites will generate an income for the owner. Others make a determined effort to help people who need to watch every penny. These good sites are monitored by their web master and updated constantly with new information, tips to save money and the really good ones collect money saving information from their own readers. Nothing could get more genuine!

My own very down-to-earth money saving site is a no nonsense, helpful and informative site that even includes how to save money where your pet dog is concerned. Well worth a look as the author writes it from her own personal experience. It is a case of been there, done that. (sumber: Jo Withey)