Credit card debt

In the UK consumer debt has surged, doubling over the last four years, with many consumers finding it all to easy to clock up credit card debt they cannot afford to repay.

If you ever hope to repay your credit card debt you will need to pay more than the minimum payment each month, and paying on time will avoid creating extra debt in the way of late payment charges.

If you are having difficulty managing your credit card debt, you should take the following positive steps towards regaining control:

• Firstly notify your card company that you are having trouble, it’s in their interest to do what they can to help you if they wish to recoup their money.
• Shop around for a better interest rate, and preferably a long interest free period for balance transfers; you can use this time to make capital payments to your debt, reducing it without paying interest.
• If you are experiencing debt problems that you are struggling to cope with contact your local Citizens Advice Bureau, which offers free advice to help you reduce your debt.
• If debt has become a serious issue, consider cutting up your credit cards to avoid further temptation.