by : Aisha Cristal

According to a recent research, three-fifths of Britons under monetary pressure are failing to seek help for their problems. The survey, which was conducted in January 2008, also showed that out of the 644 people questioned, some 125 currently have money problems.

In addition, the study showed that some Britons are unaware that there are a number of expert debt advice services which are free to use. People should remember that something can always be done to come to grips with their money matters.

Work out where your money is disappearing and put an end to the money drain. There are some simple ways to go about this and here are a few suggestions:

• Keep a diary for one month of every single little purchase and cash withdrawal you make. This is a good way to see where money is going; the result is often surprising and you can have a command over spending in this way.
  
• Write and try to stick to a monthly budget. You should consider all your areas of regular expenditure.
  
• Use what you've learned from your spending diary, budget and statement of affairs to look for ways to make less unnecessary spending and start living below your means.
  
• Pay off the debts with the highest annual percentage rates first, rather than your biggest debt. This will definitely save you loads of money in the long run!

You can create a suitable debt management plan by writing to your creditors and appealing to them to lower your minimum monthly payments and to freeze the payable interest. If they agree, the deal won't be legally binding and they can retract the agreement at any point of time. The plan is likely to be reviewed in every six months. At best, this plan gives you breathing space, and it is all you need to get your finances in order. As the plan suggests it's better to come to some sort of temporary arrangement with your creditors, rather than miss the repayments. However, your credit record will still be affected, and default notices may be issued to you.

Those consumers looking to get to grips with their finances however may wish to take out a . In applying for this type of loan, borrowers may find that they are able to merge a number of demands or their expenditure into a single low-cost repayment. Following this, it is possible that people may have spare money at the end of each month. This cash could go towards repaying debts and getting out of the red zone quickly.