Monday 20th of April 2009
Consumers have been urged to make debt management a priority after research revealed that many people are struggling to effectively cope with their finances.
According to The Co-operative Bank, most people have spent their disposable income by the 20th of each month.
As a result, they are having to rely on credit cards and overdrafts until wages are paid, a situation that could lead to significant debt management problems.
Head of current accounts John Barker called for greater restraint, noting that consumers are rushing out to spend after being paid, but then having to make money stretch further down the line.
"In the present economic climate developing a household budget is essential to keep spending in check and to identify ways costs can be trimmed," he remarked.
Last week, moneysupermarket.com noted that debt management is becoming increasingly important in order to protect credit histories, as lenders are being particularly strict when considering applications.
