52% of families have unsecured debts which add up to half their annual income, which amounts to approx £10,604More and more families are starting to struggle and cannot keep a personal finance budget with credit card and loan debts mounting up.
Here's a simple test everyone should do:
A simple test is to not use your credit cards for a whole month, make the minimum payments on them, after you have paid all your other fixed costs such as mortgage, Council tax, utility bills, loans etc etc and then see if you can get through the month by just using the cash left from your wages.
If you can get through the month without dipping into your credit cards then your finances are probably sound, however if you run out of cash part way through the month and have to use your cards for everyday expenses such as food and petrol then you need to take a long close look at your finances.
Start by completing a simple household income and expenditure form [excluding unsecured debt repayments] and if the money left over each month is not enough to cover your minimum contractual payments on your unsecured debt repayments then you really need to take action sooner rather than later.
It is a simple as that...
If you cannot do this then contact Integrity now for professional, fair and impartial advice on 01743 272900
(Author: Darren Perks)
