There's a difference between debt you're managing and debt that's managing you. If repayments are outpacing what you can afford, if you're borrowing to cover borrowing, or if the stress is affecting your sleep and health, that's problem debt — and the most important thing to know is that free, confidential, non-judgemental help exists.
Free help comes first — and it's genuinely free
Several UK charities offer free debt advice and will never charge you. StepChange, National Debtline and Citizens Advice can review your situation, explain your options, and in many cases deal with creditors on your behalf. Be cautious of companies that charge fees for debt help — the reputable, free services can usually do the same things without the cost. See our resources page for links.
Some of the formal options that exist
Depending on your circumstances, a debt adviser might discuss things like a debt management plan, a debt relief order, an individual voluntary arrangement, or in some cases bankruptcy. Each has significant and very different consequences for your finances, your credit file and your assets, and the right one depends entirely on your specific situation — which is exactly why free, regulated advice matters before choosing any of them. This guide deliberately doesn't recommend one, because that decision shouldn't be made from a general article.
Practical first steps while you arrange advice
- Prioritise the right debts. "Priority debts" — like rent, mortgage, council tax and energy — carry more serious consequences than others if unpaid, so they generally come first even though they may not have the highest interest.
- Don't ignore letters from creditors. Engaging early gives you more options; problems tend to escalate when they're left unopened.
- Be wary of new high-cost borrowing to plug the gap, which usually deepens the hole.
Your wellbeing matters too
Money worries and mental health are closely linked, and persistent debt stress is genuinely hard to carry. If it's affecting you, reaching out — to a free debt adviser, your GP, or someone you trust — is a sign of taking control, not of failure. The financial situation is solvable, and you don't have to work it out alone.