The United Kingdom is currently in the middle of a huge debt crisis the likes of which we have never seen before in this country.
More and more people are losing control of their finances and getting into severe difficulties.
Wages for some people have increased significantly while for the vast majority of working people they have stagnated, but in real terms declined even more significantly.
If you take into account the rising cost of living and include the cost of housing which most surveys conveniently omit, you find that people are massively worse off financially than they were 5 - 10 years ago.
They may have more personal belongings but most of these have been purchased on finance and are part of the problem.
Many thousands of people are paying 29% on their day-to-day shopping at the supermarket as they are forced into utilising credit cards and expensive loans to subsist.
In many cases where there is a typical family of two parents and two children, the parents have to work at 2 - 3 jobs each just to survive.
The situation cannot sustain itself and the bubble simply has to burst at some point.
Most people in the UK are no more than three months from bankruptcy.
By this I mean that if their income were to stop for three months or more, they would face bankruptcy proceedings as the vast majority of people have little or no savings and investments.
Banks and lending institutions are recording record profits, but most of this is coming from the adverse credit markets where people have damaged credit ratings and are continuously being penalized with high interest rates and charges.
We have already seen the sort of effect this has had in the American markets and the same is destined to happen here.
The problem caused when Northern Rock went to the Bank of England for emergency funding just highlights how frail the economy can be.
There was no real problem at Northern Rock, but the media managed to imply there was and started a frenzied run on the unfortunate bank that had done nothing wrong.
If the reporting had been unbiased and impartial with just factual evidence and reasoned logic, the scenes of total panic and loss of fortunes could have been averted.
Lenders just like borrowers need to look at the whole finance industry and what effect it has on our economy and society in order to inject some common sense back into the marketplace.
To keep borrowing in order to "Consolidate" debt is an absurd proposition.
It really is like putting out a fire with gasoline! If an individual cannot afford to repay £10,000 increasing the debt to £20,000 is hardly likely to improve the situation and creditors should realise that rather than a greater return on their investment they are likely to take a greater fall as less people are able to repay their debts.
The Government hardly sets the right kind of precedent as they are seen in many cases to keep increasing the national debt as they are unable to balance the finances.
There will at some point be a day of reckoning and when it comes, millions will suffer.
People on both sides of the financial fence need to become more accountable, standing up to take responsibility for their actions, before their actions become their undoing.
If there was less pressure on people to "Buy now, pay later" or to "Keep up with the Jones's" the insane carousel of debt might begin to lose momentum and slow down.
There are ways to keep debt under control but they all involve some kind of compromise or sacrifice.
There are many companies and organizations that specialize in helping people with any kind of debt problem.
However if you are about to choose such an option you need to ensure the company you contact are ethical and capable of dealing with your particular situation.
Many of the bigger companies offering debt help and advice are simply IVA factories or have a philosophy of, "One size fits all.
" By this I mean that they only have one option which miraculously will be the one they recommend to you as the ultimate solution.
Any company that you seek advice from should have a range of options available and many ways of dealing with individuals.
One such company is called "Best Solution.
" What they do is to offer a range of services designed to help virtually everyone who contacts them for advice.
They are large enough to have the experience and expertise that people require, but try never to lose the personal touch.
Their "Debt Reduction Program" is designed to do exactly as the name suggests and get people out of debt within a reasonable period of time, but at a rate they can realistically afford.
This particular company work exclusively in the best interest of the client and not, for that of the creditor.
They are very efficient at negotiating reduced payment arrangements and suspending interest and charges from being added to the accounts; although this can never be guaranteed by them or any other such company.
They are currently attempting to petition the Government to get the law changed on this issue as it is their view that adding interest and charges to an account when they are fully aware that the client is experiencing severe difficulties and has engaged their services is a travesty of justice.
They would be interested to hear your comments and feedback on this matter or any other issue mentioned within the article.
The services they currently offer include the following; Debt Reduction program, IVA, Trust Deed, Mortgage, Remortgage, Equity release, Property sale and rent back.
If you would like some free, impartial advice you can call them in confidence and speak to one of their knowledgeable and highly trained advisers.
Many people who work for the company have experienced debt for themselves and therefore can appreciate what you may be going through.
This always helps if you are discussing such a sensitive subject and it's nice to know the person at the other end of the phone really can help without being condescending or judgmental.