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Brits, who consider themselves to be involved in a closely knitted relationship with their partner, may not be fully aware of all their financial dealings.

According to recent studies, more than 1 million people within the UK have taken out a personal loan or credit card within the last 12 months, without running it past their partner, or even making them aware of their decision up until the loan/credit card has been paid off.

Secret borrowing is a growing trend within the UK, and it has been discovered that the average Brit will acquire around £5000 on credit, without thinking to consult their partner. The most common uses for such credit have been found to include the consolidation of outstanding debts, shopping splurges and home improvements.

The study also showed that around 1 in every 15 relationships were seriously disrupted as a result of secret borrowing, with some individuals claiming that they were left in financial turmoil due to lack of planning for the additional outgoings.

A leading IFA commented that the act of acquiring credit in secret could be incredibly detrimental to any couples financial position, as the repayments cannot be budgeted for due to the element of secrecy. It is of paramount importance to be frank with your partner with regards to any financial decision-making, but ultimately, acquiring loans in secret is never a wise move.

Low earning families within the UK may not have the financial resources necessary to combat the effects of the credit crunch.

Government officials have stated that due to a series of economic blunders, which have occurred over the past few months, families within certain demographics may be faced with severe financial difficulties at the later part of the year, as normal expenses associated to the cost of living begin to soar.

Economists predict that rising food; energy and utility costs could see the average family burdened with additional outgoings of more than £150 per month. Coupled with escalating home loan costs, a rise of this nature will almost certainly push those who are already skating on thin ice, into an extremely serious situation.

Additionally, Citizens Advice Bureaus up and down the country have reported a stark rise in the number of households seeking urgent assistance with their financial commitments, with a number of said cases only resolvable through voluntary insolvency.

Loan borrowers within the midst of repaying a plan, have been advised to keep a watchful eye on the market place, as new, better priced consolidation deals may warrant a mid term change.

New statistics reveal that British consumers spend in excess of 1 billion pounds each year, as a result of not switching to a more competitive personal loan plan as and when they become available. Accordingly, close to 10% of loan borrowers accept a repayment plan, which offers a repayment rate higher than is suited to their credit profile.

At a time when record numbers of people are struggling to manage their personal finances, claiming insolvency or seeking some other form of debt help, the time has never been better, for consumers to identify and consider new ways to help reduce their monthly expenditure.

What many people fail to realise is that the average commitment term required by many loan providers can be quite lengthy, and quite a lot can change from the date in which the loan is taken out, up until the day it ends. Consumers need to be aware that cheaper credit is available, and changing provider is possible, it’s simply a matter of doing your homework and shopping around.

Recent studies have revealed that the typical British consumer is likely to become and remain indebted up until their early 60’s.

As British credit shoppers amass more in the way of loan and credit card commitments, the likely hood of having to deal with the burden of debt into the early years of retirement has increased by more than 20%.

Additionally, the study reveals that gender can also play a significant role in splitting the trend, with figures showing that men are more likely to remain in debt for a longer period of time, than women. The average woman is expected to completely break free from the shackles of debt towards the back end of their 40’s, where as men are more likely to become debt free towards the backend of their 50’s / front-end of their 60’s.

It is thought that the resulting effect of these findings can be more clearly seen through a decline in the number of couples willing to get married due to the additional financial constraints of a wedding, and it is also believed that fewer people are willing to have children in their 20’s for similar reasons.

One expert suggested that rising living costs are forcing people to devote more of their adolescent years towards saving for a debt free future, postponing the prospect of marriage and children as a by-product of such intentions.

One of the UK’s leading financial comparison sites has recently announced that 2008 could prove to be a year of serious financial hardships for many Brits.

The site suggests that reduced credit spending through high street outlets, at and around Christmas time is evidence that many people within the UK, are struggling to manage their existing financial commitments such as loans, mortgages and credit cards. Consumers who regard themselves as being indebted are taking cautionary steps in order to curtail the level of their debt, as a direct response to changing economic conditions.

However, although the findings would certainly appear to be positive from a correctional perspective, the site suggests that it may already be to late for some consumers. Accordingly, close to 5 million people within the country are spending at a ratio which exceeds their annual income, with an additional 1/5th of people actively using loans and other forms of credit, as a means to meet their monthly living costs.

A spokesperson for the site commented that after almost a decade of what some would describe as reckless credit binging, British consumers finally appear to be realising the errors of their ways. Only time will tell if the steps that are taken today, will be enough the combat the potential complications of tomorrow.