If you are having problems handling your secured debt then it might be worth doing some homework online to see what you can do yourself to get to grips with your debt.

There are a world of websites out there for those who are indebted – information services, debt management websites, Government help, charities and of course professional financial advisers.

And people are starting to see the benefit of seeking out help online – 150,000 people used the Consumer Credit Counselling Service's online support, many of whom were under 40. The figures also found that more women than men use CCCS Debt Remedy which could be evidence that women are more open with their problems and more keen to get to grips with them.

Paula Searle, head of e-services at CCCS says: "The higher rates of online debt counselling users in any particular category is likely to be a combination of need for help with their debts and general internet usage."

Good advisers like The Mortgage Broker pack their websites with information – they understand that people want to do all they can on their own terms to understand their debt problems and work out ways in which they can make life easier for themselves. Only then, when they have their own tools should they seek out some help to take that next step towards managing and reducing their secured debts.

SOURCE: CCCS, 09/04/10

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New figures have revealed that Brits are returning to their borrowing ways – at the end of last year, the UK population was borrowing 62p for every pound that they saved from both their homes and their credit cards.

According to the research by Unbiased.co.uk, by the end of 2008, the public were conscious of their debt levels and working hard to repay what they owed, with £1.68 being repaid for every pound they saved. But these virtuous repayment habits of 2008 failed to continue, with the borrowed amount creeping higher by the start of 2009 and increasing throughout the year.

Overall in 2009, Brits borrowed a staggering £28.2bn worth of non-mortgage debt with only £71.6bn being saved. People are once again turning to short-term solutions to help them get through the month. The rest of the borrowing came from safer equity release, but this is still proof that people are not listening to professional financial advice when it comes to saving and borrowing.

Karen Barrett, chief executive of Unbiased.co.uk says: "While we may be officially out of recession, these latest figures highlight that consumers are back behaving as they did before the onset of the credit crunch, even though the economy is still not back to full strength. This trend of lower savings levels highlight a real concern for the public's future financial well-being, especially as these falls in savings levels haven't resulted in the public paying off an increasing amount of their debts.

"While many believe we are over the worst, there is still a lot of consumer confusion out there right now, and it is vital people seek professional advice from a financial adviser to enable them to strike the best balance between borrowing, saving and other aspects of their finances throughout these difficult times."

SOURCE: Unbiased.co.uk, 01/04/10

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Although we are technically out of the recession, millions of people in the UK are still struggling to handle their day-to-day expenses, so are still cutting back as a result.

According to Santander, 40 million people in this country are still continuing to cut back on their outgoings. It says there is has been a recent emphasis on shopping around for good deal on groceries, switching off lights and electrical items, and starting a culture of ‘make do and mend'.

Many people have had to go through the last two years with no pay rise and probably a pay cut while seeing their bills and financial responsibilities grow. This has led them to tighten their belts as far as they will go. While over half of Brits are looking around for the best grocery deals, one in five have started taking their lunch to work – people are being forced to sacrifice so as to be able to afford to pay their mortgage, their loans and their bills each month.

Helen Bierton, head of Santander current accounts says: "Forty million people are still feeling the pinch and trying to find ways of slashing their outgoings to cut back, including starting a ‘make do and mend' culture, buying second hand goods on eBay and in charity shops, or cutting reducing household help and their childrens' pocket money."

One of the best ways to ease the financial burden is to consolidate existing debts into one manageable secured loan. It would give you a little bit extra each month, which would go a long way in making your life easier during these continuing tough economic times.

SOURCE: Santander, 26/03/10

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One of the biggest problems people with multiple debts face is being able to actually pay off the debt while managing the interest – indebted borrowers don't have the freedom to pay off their debts.

Car loans, personal loans, mortgages, credit cards and store cards on top of all of the other bills life throws you mean you do not have much money to actually save and pay off the debt – many Brits are therefore doomed to a life of continuing debt.

If you can manage the demands each month this isn't necessarily a problem, but if you suffer a loss of earnings or are hit by an unexpected payment then you may find you miss a payment on one of your debts and then you could be in real trouble. One missed payment means a fine, a penalty charge or an increase of a rate – then all your debts are at risk as your outgoings suddenly increase.

The only way to solve the problem is to get some space and time to be able to save money and actually work off your debts. That can only be done by consolidating your debts into one, affordable loan – a secured loan.

By using your home's equity to consolidate debts you reduce the number of interest rates you have to service considerably – and because the one debt is secure, that rate is lower. So from many high rate payments to one, low payment means you have room to save and pay down the secured loan in good time and you reduce the chance of losing control of your finances.

So if you feel like your debts don't give you room to breathe, talk to a mortgage adviser about using your home to give yourself some freedom.

To keep up with the latest news and comments on current financial affairs please visit the Secured Loan Blog

On average, the money earned by Brits over the first 50 days of the year was just enough to cover the interest payments on their debts for the year, according to Unbiased.co.uk.

That is the equivalent of one day's wages a week going towards servicing debts – for many this is just too much. It's hard enough to cover the interest payments let alone work towards paying the debt off. Unbiased says figures show that credit card debt has increased by just over £4bn in 2009, reached over £54bn because people just can't pay it off.

For some people the answer may lie in secured consolidation. By using your home to pay off your unsecured debts you are able to reduce all your outgoings to just the one payment. This means less outgoings from one month to the next and more importantly it means the borrower has time and space to pay off their debt, not just manage it.

Karen Barrett, chief executive of Unbiased.co.uk says: "Debts can quickly mount up to a considerable sum and this date demonstrates that debt is something that we need to take control of and actively manage.

"Tackling your debt doesn't have to be a daunting task and you don't have to do it on your own. With interest rates at an all time low, now is a better time than ever to action. Seeking independent financial advice will make sure you are making the right choices on your finances."

SOURCE: Unbiased.co.uk, 19/02/10

To keep up with the latest news and comments on current financial affairs please visit the Secured Loan Blog

It seems that the credit crunch and resulting great recession has done little to teach many Brits of the dangers that come from over-leveraging oneself with risky, unsecured debt.

Research from moneysupermarket.com has discovered the depth of reliance Brits have on unsecured debts – the research found that one in five of us carry more than three credit cards and that 17% of credit card holders use their card at least once a day.

The research also discovered a worrying trend in that over 14 million Brits are using their credit cards to fund day to day expenses. People have still not learned that unsecured debt is a short-term solution and is not the answer if you cannot afford something.

Peter Harrison, credit cards expert at moneysupermarket.com, says: "Credit cards are still playing an important role in the nation's finances. Our research makes clear the extent to which many of us rely on credit cards at frequent intervals in our lives although it's alarming to see that so many people are using credit to pay for day to day expenses as this can be a dangerous habit to get into.

"Also, holding more than two cards does expose you to a large amount of credit, which may not be financially healthy and could make it difficult to obtain further credit in the future."

If you are relying on unsecured debt to get by day-to-day then you need to seek out some expert help. Talk to a mortgage adviser about restructuring your debt and using safer secured options to get by. Credit cards will only lead to more debt pain and will only result in not being able to afford more, for longer.

SOURCE: Moneysupermarket.com, 15/02/10

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Secured debt lenders think that there are going to be more repossessions in 2010 as more people fall behind with their payments for mortgages, loans and other debts.

According to Moore Blatch, 67% of mortgage lenders and foreclosure experts are predicting an increase in the number of repossessions in 2010. They think that more people will simply be unable to keep up with paying their bills and the lenders will have no other choice but to take the property.

Of those who are predicting an increase in repossessions, 50% believe repossessions will rise by as much as 5%, while 17% believe a rise of as much as 15% and a further 6% foresee a rise in repossessions of over 15%. They think that growing debts will be the main reason for repossession, but unemployment and the possibility of rising interest rates may play their parts too.

But there are not all as pessimistic – more than a quarter of lenders thought there would be no change in repossessions in 2010, while 6% believe there will be a decrease.

Paul Walshe, head of lender services, Moore Blatch says: “The Council of Mortgage Lenders revised, and subsequently lowered their 2009 predictions for repossessions to 48,000 in 2010. However, much of this fall was due to the the Government's initiative to provide consistency in lenders’ approach to repossessions. This created a bottleneck which will start to clear in 2010.

"Sadly, the underlying cause of repossession, being excessive borrowing, is still causing people to default on their mortgages."

If you are struggling to pay your secured debts, you must talk to an expert right away. The lenders might be right and more people might not be able to handle rising rates, fees, penalties and short-term debt pressures. Do what you can now before you find there is no way back.

SOURCE: Moore Blatch, 10/02/10

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It is not just us regular people who suffer from secured debt problems – according to the Mail on Sunday, even Conservative MPs can wind up having their homes repossessed.

The paper recently reported that one of David Cameron’s rising stars had her house repossessed over an unsettled debt of £324,000. Adeela Shafi opened the 2008 party conference and tipped to be an important MP if the Conservatives came into power this year.

But that did not stop her mortgage lender seeking a county court judgement over £324,000 owed by her after she missed mortgage payments. This led to a judge deciding that the home had to be repossessed. But her miseries didn't end there – the paper says that the property had to be sold for a knockdown price of £250,000 and now Shafi is liable for the remaining £74,000.

This tale highlights two things – one, if you do not keep up repayments on your debts then you can lose your home, whoever you are. And two, if you get into serious difficulty and receive court judgments then you need to find some expert help fast to stop the courts taking your home.

If you are struggling with your mortgage or any other secured debt, talk to a financial professional before you lose your home. It doesn't matter who you are or what job you have, defaulting on your debts is a serious issue.

SOURCE: Mail on Sunday, 06/02/10

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An estimated 12 million Brits are funding their day to day spending through their credit card balances, creating more debt problems for themselves in the future.

According to the Post Office, 38% of all Brits intend to use their unsecured debt in January for daily purchases such as grocery shopping. It says reflects the extent to which the recession impacted on people's finances during 2009, with many more set to suffer financially well into 2010.

Unsurprisingly, 2.6 million people expect they will end up spending more on their credit cards this January compared to January 2009. And it's not just in January when people believe they will feel the pinch – a further 3.3 million expect they will up their unsecured borrowing overall in 2010, with 3% planning to take out another credit card or increase their credit limit.

When it comes to repaying credit, almost half of all credit card holders have no plans to pay off their credit card bills in full each month and six per cent will only pay off the minimum amount. A further one in five believe it will take them over a year to pay off their unsecured debts.

Az Alibhai head of lending at the Post Office says: "The continued trend for people to rely on their cards for basic day-to-day purchases is a concern. Whilst the recession has left many with no choice, these debts build up quickly if not paid off in full each month, and can be extremely costly over time when interest is added."

The worst debt you can have is spiraling unsecured debt. By consolidating your credit card balances into secured debt you can reduce your outgoings, improve your credit rating and give you some time and space to start getting back into the black.

SOURCE: Post office, 20/01/10

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It may not be an option to consolidate all your debts right now while secured lending is so tight, but there are things you can do to ensure that your debts don't stop you accessing secured loans in the future.

The first thing to do is to make a budget plan. Lay it all out – incomes, outgoings, necessities and luxuries – then begin to make some really tough decisions. Look to see where you can cut back and look to see where money is simply being wasted.

After that, look at all your necessary bills and see where you could save money. Could you move to a cheaper mobile phone plan? Could you do without digital TV for a while? Have you tried to compare your utility bills alongside other providers? Have you talked to your mortgage adviser about cheaper insurance packages?

There are so many things you can do to cut back your outgoings so as to start saving and start overpaying on your mortgage. The longer you can do that, the better borrower you will be in the eyes of the lenders in the future.

So when the fog lifts from the UK economy and when house prices have risen once again, the borrower who has kept their outgoings under control and has worked towards increasing the equity in their home will be the borrower who can take out a secured loan. This loan could be for home improvement, for a new car or to help their kids through high education – whatever you need the money for, if you work hard to attain it, it's yours.

Talk to a mortgage adviser about preparing for better days – they can help you budget, they can help you plan long-term and they can assure that saving is the single best way of becoming a secured loan borrower in the future.

To keep up with the latest news and comments on current financial affairs please visit the Secured Loan Blog.