According to figures released by the Bank of England, UK citizens owe around £233 billion on overdrafts, personal loans and credit card debt. Debt advice agencies are struggling to cope with the demand, for their services, from hard up consumers.

Since the start of the credit crunch, and the recession that followed, many people have been faced with the prospect of losing their job, or their home, and so it is hardly surprising that now they may be starting to take their debt problems more seriously. According to Chris Pond, head of financial capability at the FSA (Financial Services Authority), debt advice specialists have been “swamped with a tidal wave of cases”.

Waiting lists for advice have increased over recent months, and some consumers are forced to wait several weeks before they can get an appointment to see an adviser. None of the organisations that provide debt advice on a face-to-face basis have the capacity to deal with the numbers of enquiries that are coming through the door.

The government has invested more money in debt advice services, and the Citizens Advice Bureau has extended its hours of operation in an effort to deal with the numbers involved. They have also provided leaflets that are designed to work on a self-help basis, and so relieve the pressure on the advisers.

Many of the people seeking advice have never had debt problems before and are looking for help for the first time. This is usually because their difficulties have been caused by a major change in circumstances, such as redundancy, as appose to simply spending too much money.