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Cash crisis: Who to turn to if you reach rock bottom

If you’re struggling with debt, help is available – and it’s key to getting back on your feet

September 30, 2024 15:33
990947798
There are many schemes to help you deal with creditors, so it's worth seeking advice as soon as you can.
3 min read

When financial disaster strikes few people are financially prepared. Be it losing your job or being forced to file for bankruptcy or a debt arrangement it can take months or years to claw your way back to financial stability.

Key to getting back on your feet is to ask for help. Simon Trevethick, head of communications at debt charity organisation StepChange says most of their clients wait a year before contacting them. “We would advise people to get help as soon as they see the warning signs or are struck by an unexpected disaster such as a job loss. Our instinct is to go it alone, but it is usually just papering over the cracks and ends up making things worse. Covid and the cost of living crisis has pushed more people over the edge and there are currently some 3 million people living with problem debt in the UK.”

Bayla Perrin chief executive of Paperweight charity which helps people with paperwork says key is: “Being open and honest with whoever is helping. Holding back key information can prejudice the outcome of any negotiated outcome or backfire in regards applications for temporary or permanent grants and benefits to which you may be entitled And do not go silent on those you have engaged to help you, they need to keep you informed and to enquire information from you."

If you are struggling, contact your local Citizens Advice (citizensadvice.org.uk) or organisations such as Paperweight (paperweight.org.uk), National Debtline (nationaldebtline.org) or StepChange (stepchange.org) which offer free advice to people in debt. Avoid paying debt management companies if you can, as these will only increase the overall burden with their fees.