According to , the ‘era of debt-financed consumer spending is over and the people in Briton should change their lax attitude towards debt.
Head of loans and debt at , Tim Moss stressed the need for people to take the time to manage their finances to avoid falling into debt and cut their monthly spending so that they have enough left to pay their installments.
In his words: “Many people are being pushed to breaking point by the spiraling cost of living and the ongoing effects of the credit crunch but, as our research shows, people do need to be aware of their own financial circumstances and not bury their heads in the sand. " He further added, “Consumers should ask themselves if they really need a new car, the latest Sky package or those new shoes. "
These comments came in the wake of a research by the comparison site which found that the Brits had a very lax attitude towards debt.
As a case point, the site found that 66% of Britons would not even be concerned if their debts were so high that they couldn't afford their gas and electricity bills. Another 57% said that they ‘would not suffer from sleepless nights’ if they missed a payment to their rent or mortgage. Only about 15% said they would be worried if they missed two or more credit card or loan repayments, ‘despite the dire consequences of doing so’.
It goes without saying that people need to have a more constructive attitude to debt and that they should seek debt advice to tackle their problems before they spiral out of control and they have to face dire consequences like aggressive calls from bill collectors and bankruptcy, in extreme cases.
The buy now and pay later concept may seem tempting but it is prudent not to spend more than you can afford. However, if you have reached a point where you are unable to pay off your debts, you must seek debt advice from reputable debt management companies who can counsel you on keeping control over your finances and also suggest Debt Management Plans or an IVA to deal with the situation.