Anyone who wants to sort out their
personal finances should sit down and work out a budget, says
one expert.
Frances Walker, spokesperson for the Consumer
Credit Counselling Service (CCCS), said: You need to sit
down and do an annual budget and then divide it by 12, so that you
take account of things that come in quarterly or your
car insurance that comes in annually.
She added that people should check to see that they are not living
beyond their means.
Ms Walker said: If you add up everything that you have to
repay every month - unsecured creditors, such as
credit cards and
personal loans - if that comes to more than 20 per cent of your
personal
income, you are over extended and you need to look at
that.
She suggested that people in trouble might wish to talk to
debt charities like the CCCS as any help their
bank offer may be limited to just one
consolidation loan .
