Warning! 6 signs your debt is out of control
We’ve all been in debt, and most of us still are. The difference is whether our debt is controlled, or whether the bailiffs are knocking at the door demanding their money back.
Speaking to friends who have been in debt, I’ve put together 6 signs that you’re struggling;
1. You’re always in your overdraft. Ok so I have an overdraft and I don’t really consider it a debt. It’s just tiding me over for the month until the next pay check. But if you’re finding you’re always at your overdraft limit, read the warning signs. Not only are you spending money which isn’t technically yours, but your bank has the ability to take away overdraft facilities if they think you’re in trouble.
2. You always use your credit card. If you’re using your credit card for more than just the big purchases and emergencies – for the weekly shopping for example – take note.
3. You hate the postman. If your post drops through the door and you immediately file it into the bin, it’s a sign that you don’t want to read anything telling you you owe money.
4. You’re behind on the big things. Rent and council tax are priority expenses. If you’re behind with either of these – you’re in trouble.
5. You take credit to pay credit. Paying off one credit card with another is a flag for your financial health.
6. You’re considering a payday loan. If you’re considering a payday loan but you’re not completely sure you can pay it back, you’re in trouble.
If any of these points apply to you, be careful. Have a look at your spending and make sure you draw up a budget and stick to it. Cut up your credit cards and try to cut back on living expenses. We all know it’s not easy, but you’ll thank me in the long run.