An annual survey by the Debt Counsellors has shown that the best way to avoid personal debt is to have good financial advice. The survey found that a change in circumstances leading to a fall in income is the main cause of debt.
Redundancy, divorce, illness and bereavement are the most common reasons. Forty per cent of people surveyed blamed their own financial management, especially overspending, for their personal debt. Around 60% of those are aged under 36, owing money through credit, store cards and personal loans. Credit card debt accounts for 91% of cases handled by the Debt Counsellors, while 84% have debts through personal loans, and 47% are behind on their store card payments.
Our view
If you want a brick wall building - call a builder. If you need brain surgery - you will see a surgeon.
Need help with your money? "I'll do it myself". Don't! Take professional advice.