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There’s no doubt that Christmas and New Year is an expensive time for all families but if you’re struggling with debt, then it’s probably even more of a struggle.

Also, you may have a New Year resolution to get out of debt and back onto a sound financial footing and this article will help you.

That’s because debt can be crippling, particularly when the bills won’t stop landing on the doormat and if you are struggling to cope with money and debts then it’s time to seek help.

While there is a friendly team of debt advisers available at Scotland’s Trust Deed to talk over your debt issues and potential solutions for those who live in Scotland, there are other ways to resolving your situation.

If you feel overwhelmed by debt

It’s also important to appreciate that you’re not alone if you feel overwhelmed by debt; there are around 8 million people who regularly miss bill repayments in the UK and they feel overwhelmed too.

Despite this, just one in five of those people will seek advice for resolving their debts.

Indeed, one government-run organisation says that around 10% of the population might be suffering in silence when dealing with serious money problems.

So, if you are trapped in a spiral of unpaid rent, overdrawn credit cards and other bills, then these are ways for dealing with it.

How much do you owe?

The first step is to work out how much you owe on store cards, credit cards, loans and bank overdrafts.

What are the monthly repayments and how much interest is involved?

You will need to add all of these figures up to come to a total amount of debt. This may be a surprising and frightening figure.

That’s because many people don’t look at this overall debt figure and will not appreciate just how much they are paying to service this debt every month.

Prepare a budget

The next step is to prepare a budget and, more importantly, stick to it.

You will need to know how much money is coming into your household and how much is going out. This means listing all sources of income, including salary, benefits, pension and also savings interest and returns on investments.

Then you will need to calculate your essential bills which are the rent or mortgage, council tax, food, energy bills and travelling to work.

There’s also a calculation for everything else, including a gym membership, clothing, holidays, car tax and a TV package.

From here you should work out what are the most important items and what you can do without; you will need to cut back on ‘luxuries’ or switch to cheaper deals for your energy.

Also, look at ways of earning some extra money, including flogging items you no longer need or use.

Simple route to better financial health

Essentially, this is the simple route to better financial health and as you begin paying down your debt levels this should act as an incentive to finish what you begin and then end up being completely debt free.

It’s also worth talking over the potential options if you live in Scotland for resolving debts and these include the Scottish trust deed as well as the debt arrangement scheme. There’s also bankruptcy as a potential route out of serious debt but you’ll need to think carefully before undertaking this.

The debt advisers at Scotland’s Trust Deed will offer impartial help and advice which means you don’t have to follow it but you may find it useful to becoming debt free.

A Scottish trust deed

If you want to know about a Scottish trust deed as well as the debt arrangement scheme you should contact the friendly team at Scotland’s Trust Deed to find out what they can do for you.