Personal Debt Crisis Escalates. Debt Consolidation Companies Thrive

Approximately 70,000 people are desperately seeking help each month as they struggle to cope with debts of almost £1 million between them. New figures revealed illustrate an escalating personal debt crisis as the recession tightens its grip on struggling families throughout the region. The Citizens Advice Bureau said the number of people facing money problems has spiralled. A money advice specialist told the Standard: "We are dealing with an extremely high number of people in thousands of pounds worth of personal debt each month. Christine, who has worked at CAB for four years, says the majority of new clients are homeowners struggling to pay their mortgage. "The number of clients who are homeowners and seeking advice regarding debt problems is continuing to increase," Ms Sinclair said. "Many of them are struggling to pay their mortgage which could be the result of a job loss or perhaps a person can no longer get overtime at their work. debt help companies are one option they should consider." She said: "We anticipate that this situation will continue as the impact of the credit crunch takes effect and it could take several years for families to get back on track financially. "I would urge families to contact us early on with any financial problems they may have. We have an excellent team at hand to help people." CAB are currently helping 1,293 people locally overcome debts mounting to an incredible £17.7million. debt consolidation companies are noticing a boom in people seeking their help and a total of £1.7 million-worth of debt has been written off between April and September as dozens of people are forced to claim bankruptcy. Worrying Stuff.