From advice service MoneyHelper
Money troubles can strike any of us at different points in life, and there are not many people who have not experienced money difficulties at some stage.
Many scenarios can lend themselves to putting a strain on our finances, including ill health, loss of employment, relationship problems, borrowing and gambling to name a few. Let us take a look at some recent evidence.
- More than one in four adults (14.6 million or 28%) reported either not coping financially or finding it difficult to cope
- One in seven (7.4m or 14%) felt heavily burdened keeping up with their domestic bills and credit commitments
- One in nine (5.9m or 11%) had no disposable income
- One in nine (5.5m or 11%) had fallen behind or missed paying one or more domestic bills or credit commitments in the previous 6 months
(Financial Conduct Authority Financial Lives Survey, Jan 2024)
While these are sobering numbers, whether you are worried about rising rental costs, covering higher energy bills or tackling debt, we’ve brought together our most useful tools, calculators and guides to help you keep on top of your money.
Bill Prioritisation
It can be difficult to manage all the different bills we need to pay. The consequences of missing some types of bills can be more serious than if you fall behind on others. Our Bill Prioritiser Tool can help you put your bills and payments in the right order. If you are struggling to pay it will tell you in two straightforward steps what to do before you miss a payment. Read more.
Living on a Squeezed Income
Whatever is happening in your life, there are ways to make your income go further. Learn how to cut back on spending and costs and see what extra help and support might be available. Read more.
Talk to your Creditor
Letting your creditor (any organisation you owe money to, for example, housing, gas, electricity or the council) know and having early conversations with them is the best first step to resolving your money issues and avoid falling into problem debt. Read more.
Debt
An oft quoted phrase is that of a “debt timebomb”, waiting to blow up. The truth, however, is that for many people, it’s more like falling in quicksand. Once you are trapped in debt, it can be extremely hard to get out and is often drawn out over a prolonged period. It can be years until people use all the financial coping mechanisms available to them and they reach crisis point.
Have you missed more than one debt payment? Speaking to a trained and experienced debt adviser about your situation can help you see what the best decision for you might be. Most people who have accessed regulated debt advice tell us they feel less stressed or anxious and more in control of their life again. A debt adviser can:
- give you advice on better ways of managing your money
- check to see if there are any benefits or entitlements you might be able to claim
- tell you about the ways of dealing with debts that are open to you
- get you out of debt faster
- keep everything you tell them confidential
There are many excellent organisations who can help you if you are struggling with problem debt, such as ourselves at MoneyHelper, StepChange, Christians Against Poverty and others, but …
...take care
There are also many unethical advertisements online and on social media platforms that are trying to convince you that you need to sign up to debt advice with them, when they may well not be an appropriate organisation to provide the right debt solution for you. Often they are charging fees or a commission, or want to sell your details on to an inappropriate debt adviser. Please be careful, if you need debt advice help then first look at our Debt Advice Locator.
All the listed services in England are free, confidential and hold a standard or membership code accredited by the Money and Pensions Service. Debt advice services in Scotland, Wales and Northern Ireland are still free and confidential but may not hold a standard or membership code accredited by the Money and Pensions Service.
You can access further information and support around debt at www.moneyhelper.org.uk or speak to us free in confidence on 0800 138 7777.