The most common characteristic seen in people with debt management problems is denial, where they refuse to face up to the fact that spending is exceeding income and that money is owed to numerous creditors. Put simply, if you can’t afford to pay even the minimum amount you owe, it’s likely that you’ve got a debt problem.

Nearly anyone you ask will tell you that facing up to debt is the first and arguably, most essential step to solving it. You need to stop your debt problem before it becomes a debt crisis. Ignoring the issue only makes things worse, whilst starting to take decisive action to change your situation can make you feel miles better and much more in control of your finances.

Signs of a debt problem to look out for

• You are hiding details of how much you spend and owe from friends and family
• You continue to use your credit card even though you’re trying to pay off the balance
• You are late in making payments and can only ever afford the minimum amount
• You have been denied loans and credit because of a poor credit rating
• You aren’t sure of the entire total of your debts
• You don’t have any money saved at any time

If you recognise one or more of these signs in your own behaviour, it is likely that you have a debt problem and may need to look for professional help.