More and more individuals are missing payments on credit cards, unsecured loans and store cards and simply having to turn a “blind eye” to debt as they simply cannot afford to pay their existing payments.

In the past individuals would take out additional loans – known as debt consolidation loans – to pay off their existing credit. Normally this loan would be at a reduced rate and taken over a longer time period than their existing credit. This would then result in reduced monthly payments.

Due to banks reductions in lending the above is now not always an option. Many individuals now have to look towards getting debt help in a different way to enable them to still be able to live a normal life.

Often people don’t know how to get this help and a Citizens Advice Bureau is always an option. You also have options of many online debt management companies – where you can submit some very basic details online and then you will get a debt advisor call you and discuss the options you currently have available to you. If they can accept you then chances are you will be offered either a Debt Management Plan or an IVA Plan. These will be explained to you in great detail but essentially they will both mean that you will be paying less on your existing debts, per month, than you currently are therefore freeing up cash to spend on other things in life.