UK News

Tools to help you get out of debt

Financial website Unbiased.co.uk announced this week that as a nation we spent the first 83 days of the year working just to pay the interest on our debts. Personal loan levels increased to 11.4 billion pounds in 2008, up by over 1.6 billion pounds on the previous year and mortgage debt from equity release loans also increased by 6.5 billion pounds. Credit card debt, on the other hand, decreased by just over 4.9 billion pounds.

If you are struggling to pay off your debts, here are some useful online resources to help you out.

You can start by reading our top tips to help you beat debt problems. Budgeting properly is essential and you can use Unbiased.co.uk’s budget calculator to rein in your spending and borrowing and work out how much you will be left with each month to service your debt.

If you feel like you need expert financial advice then Unbiased’s website is the best place to find an independent financial adviser you can trust. You can also talk to the Consumer Credit Counselling Service, a charity which offers free and confidential advice and support to anyone dealing with debt problems.

Moving the balance on your credit card can save you hundreds of pounds a year in interest. You can find and compare the best deals Moneysavingexpert.com’s credit card and loans section. Its guide to improving your credit score will make life easier for you once you get back on your feet and the debt problems section is an invaluable resource for those of you who think your debt crisis is unsolvable.

Switching utility provider can also lead to savings that you can use to pay off debt. Compare gas and electricity suppliers at moneysupermarket.com as well as other providers such as mobile phones, broadband and insurance.

Cutting back on little luxuries like coffee, newspapers and cinema tickets soon adds up. Find out how much you can save each year by using Barclay’s little extras calculator.

Cutting back on household bills

The energy regulator has said that it is considering a ban on unjustified price differences in the energy market to address concerns that customers are being charged differing amounts according to their payment methods.

Ofgem also said that it was planning measures that will improve customer service, including simplified information about tariffs to help people decide whether they need to switch supplier.

All of which could lead to cheaper bills for energy customers. But until this happens, there are a number of simple steps you can take to reduce your household bills.

The website 0870buster.com, which has only just launched this week, will help you to cut down on your phone bill. The site is a free telephone directory that provides alternative numbers for companies at a standard rate instead of the usual premium rate numbers.

Switching your gas and electricity suppliers, meanwhile, can save you hundreds of pounds a year. Thisismoney.co.uk will help you work out how much you could save a year by switching to a cheaper supplier. The results will be more accurate if you have a bill to hand, but you can still use it if you do not.

The site, with the help of energyhelpline.com, will also help you to make the switch once you are ready.

Unravelit.com helps you to save money on household and personal bills by allowing you to compare prices on numerous products, including gas and electricity, insurance, phone bills, credit cards, broadband and loans. It also offers information about switching for business owners.

Are women better with money than men?

A major survey has found that women are more responsible with money than men. They’re less likely to get into debt and they work hard to become financially independent.

The global Reuters Synovate survey polled some 4,500 women in 12 countries about money matters. An equal number of men were also asked several questions related to finances.

It’s true enough that the rogues’ gallery of bankers now being pilloried in the media for personal greed and financial failure is almost exclusively male.

But who melts all the plastic in the High Street? Surely Sophie Kinsella’s book “Confessions of a Shopaholic” was such a success because it struck a chord with so many women.

Do you think women are more intelligent than men when it comes to money matters?