Much of our current debt woes and the increased amount of consumers on debt management plans and IVA's can be attributed to the credit crisis of last year. Until the crash of the American banks and the subsequent tightening of the lending criteria, both mainstream and sub prime lenders offered credit and loans to almost everyone. Credit counseling organizations in the UK have reported of people with credit card debt of over 100,000 GBP, a ridiculous amount to borrow on what is ostensibly a high interest rate.

Credit cards have funded many a purchase of items that shouldn't have been brought and weren't needed.  The promise of easily borrowed money can be too good to resist and it too easy to just buy something now and pay later.  The video located here, although an American product, can be viewed with interest as the premise is very much the same.  The indicators to look for and the red flags indicated that will demonstrate as to whether you are in danger of a credit crisis or in danger of suffering a potential debt problem are very much the same.  So, take a look at the video and hopefully it will assist you in recognizing an issue before it becomes a big problem.