According to figures released by the Citizens Advice Bureau, debt advice is now being sought by a third more consumers in the North-East than during 2008. Unaffordable credit card debt is the main contributory factor, as well as excessive personal loans, store cards and other household bills.

The CAB confirmed that debt enquiries during March and April were 30% higher than for the same period last year. A spokesman for the CAB pointed out that the increase in demand underlined the importance of new programmes designed to help consumers to deal with their finances, and avoid debt problems before they occur.

The services include advice on how to budget properly, particularly during the current economic downturn, as well as how to see a potential debt problem in advance. There is also help and advice on how to get out of debt, for people that leave it too late.

For more serious debt problems, a Debt Management Plan may be recommended and for debt levels in excess of £15,000, IVA advice may be required in order to avoid bankruptcy.

These programmes allow unsecured debts to be gathered together, and consolidated into an affordable monthly payment. It is recommended that advice is sought before any decisions are reached.

Chronic financial difficulty is not limited to the North-East of England. The recession has claimed victims nationwide, as well as around the world. Very few countries have managed to avoid the effects of the credit crunch, such as Canada for example.