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Debt is a burden many people have to live with. How, when and why people get into debt is not an easy question to answer as the reasons vary from individual to individual but usually its due to a sudden change in circumstance.

Their are a number of different ways to tackle personal debt but each solution is unique to the person and more specifically to the level of debt.

The average household debt is the UK is just over £7000 excluding mortgages, however a large percentage of people have debts which exceed the £20,000 pound mark. For people in a lower debt band their are usually quite practical ways of dealing with debt. The first and most obvious is to review your current situation, including spending habits ect and decide if your debt can be controlled with a little self adjustment.

The second and most common option to consider are debt consolidation loans. The reason many consumers choose this particular method of debt control is predominetly due to reduced interest on a debt loan. If you have different forms of credit such as store cards or other types of loans chances are the interest rates will vary. Debt consolidation loans allow you to effectively “pull” all of your outstanding debts together.

However, this is only worthwhile if the rate of interest and the monthly repayments are lower and more importantly are more affordable than your current commitments. It is also worth baring in mind, that a debt consolidation loan will probably be subject to a long repayment term.

If your debts are more serious other options include Debt Management and IVA’s. An IVA is quite a drastic step to take and you should think long and hard before comitting to such a plan as it will mean that any other forms of credit will not be available to you.

If you need any advice or information regarding debt help, you should contact your local Citizens Advice Bureau.