It is important to be aware that there is no real shame of being in debt. Many people across the country are in debt, and with the pressure being placed on people, it is easy to see why people can fall into debt very quickly. However, you don’t want to be in debt and this is why you should always be looking for ways to get out of debt as quickly and as easily as you can.

It may even be that you are not aware of being in debt and if this is the case, there are a number of warning signs to look out for. Acknowledging these warning signs can provide you with the chance to take steps forward and improve your finances.

You don’t know how much money you actually owe

If you are unaware of how much debt you actually have, it may be an indicator that your debt is out of control. It certainly suggests that you aren’t currently in control of your debt and you may be paying more money than you actually realise. This is why it is of benefit to count up your debt and see what the actual debt figure is. This is often unpleasant but when it comes to moving forward, it is a vital step to take. Many of the debt warning signs to look out for can be difficult to take on board but acknowledging them can help you to achieve more in life.

You only make the minimum monthly payments on your debt

When you only make the minimum monthly payments on your debt, you will never really get close to clearing off your debt. Even if you do edge towards paying it off, you will pay considerably more when it comes to interest. You should look to pay off these debts as quickly as you can, and you should be looking to pay off in excess of the minimum amount.

You are late in paying bills and you sometimes breach your credit limit

If you are unable to pay your bills on time or you exceed your credit or overdraft limits, it may be that you are struggling to deal with your debt. When you have these problems, you will face additional charges and fees which will increase your debt and make it more difficult to get out of debt.

You use credit cards for cash withdrawals

This is a big sign that you are struggling with debt. This should always be avoided because these transactions carry a higher level of interest and you may have to pay a withdrawal fee, all of which ensures you pay even more money in servicing your debt.

If you want to consolidate your debts or you are facing with an unexpected bill, a guarantor loan is likely to be a more effective way of meeting the bill without negatively impacting on your finances. Guarantor loans come with an affordable APR, allowing you to move forward with confidence.