How to get help with debts and spot the warning signs of a problem
Households are braced for a fresh round of bill hikes in April – and some may have to dip into savings or perhaps even go further into debt to cover expenses.
If you're slipping further into the red, support is available, and Debt Awareness Week (March 24 to 30 2025) encourages those with money worries to open up and take steps to get help.
Richard Lane, chief client officer at StepChange Debt Charity, says: 'Debt is a normal part of life for many people, whether it be a mortgage, car finance agreement or credit card.
'Borrowing on credit can be a useful to manage chunky expenses and spread the cost of a big purchase. However, debt can be a sensitive topic, and the stigma around it often prevents people from talking openly or spotting problems early.
'This Debt Awareness Week, we want to encourage open conversations, challenge the stigma, and help more people feel confident seeking support.'
Here are some ways to tackle debts:
– List everything you owe.
Getting an overview of your total debt will help you to see the scale of the issue – which could be better – or worse than you thought.
– Be aware of debt becoming a problem.
Lane says: 'There can be several warning signs that could indicate debt has become a problem, and it could be time to seek free and impartial advice. For example, if you're falling behind on essential costs like your rent, mortgage or bills, using credit to make it through to payday, or being hit by late payments on credit or overdraft charges.
'If you're finding yourself worrying about credit repayments, and it's causing you stress and anxiety, this is also a sign you could benefit from some support.'
– See if debt costs could be less expensive.
It may be possible to cut interest charges by moving some debts around, for example, by looking at 0% balance transfer credit card options. Bear in mind any fee for transferring the balance as well as the length of the zero-interest period.
– Use budgeting tools.
Consumer help websites and charities have free budgeting tools to create some financial 'wiggle room'.
Some people may have a 'negative budget' – where their outgoings are more than their income – no matter how hard they try. If this is the case, seeking support early could stop debts spiralling.
– Consider contacting a charity.
Lane says: ' Charities like StepChange offer free and impartial debt advice – we're not concerned about what caused your debt problems and we're only here to help you get back on track without judgement. It's also important to note that seeking free debt advice and exploring your options will not impact your credit file.'
– Speak to loved ones.
Speaking to family or trusted friends can be a relief, as well as opening up an important source of support.
– Contact your bank.
Eric Leenders, managing director of personal finance at UK Finance, says: 'If your credit card or loan repayments feel unmanageable, don't wait until you miss a payment, contact your lender as soon as possible.
'They are prepared to help, even if you are currently up-to-date with payments. The sooner you reach out, the more options they'll have available to find a solution that works for you, and the faster they can provide assistance.'
Banks and building societies also offer various financial wellbeing initiatives – and you don't always need to be a customer.
HSBC UK recently announced it is extending a 'financial health check' service across branches, for customers and non-customers.
Sally Williams, HSBC UK's head of branch network, says: 'A simple financial health check could be a game-changer.'
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