Tackling Debt
If you find yourself in financial difficulties the most important thing you can do is to seek advice and talk to those you owe money to. That way, together you can find the best way forward for all parties and resolve the situation sooner rather than later.
I’m in financial difficulty. What can I do?
The first thing to do is understand your financial situation by reviewing your financial circumstances, for example with the free CCCS Debt Remedy. Secondly, check if you have insurance (such as payment protection insurance) and, if you do, check your policy to see if you can make a claim. Thirdly, if you do have concerns, call us on 0800 028 0690 and we can discuss the options available to you.
How can I cut my spending?
The first step is to create a budget and stick to it. Most bills are paid monthly so budgeting monthly is often wise too. To create a budget, work out how much you spend a month and compare it to how much you earn a month. The goal is to earn more than you spend and look for ways to reduce or eliminate altogether wasteful spending. Here are a few tips:
- Set up direct debits. This way you won’t forget to make any regular payments, and you’ll have a clearer picture of what you have left to spend each month
- Plan your shopping list and stick to it
- Don’t make large purchases spontaneously
- Review your service providers. Can you reduce your household bills or car insurance, for instance? Check out a price comparison website and see if you can get the same services for less than you’re currently paying
- Budget for ad hoc expenses. Set aside money for things like insurance payments, holidays or charity donations that come round once in a while
- Save for the unexpected – for example, car or home repair bills, healthcare and other emergencies. It’s worth considering additional insurance protection for you and your family
Are there any resources available to help me reduce my spending?
There are several price comparison websites that can help you save money. They offer a free comparison service on household bills (gas, electricity, home and mobile phone, broadband and mortgage) quickly, easily and without hassle.
How can I reduce what I already owe?
- Once you have a monthly budget and start reducing your current spending, contact your lenders and creditors. There are lots of ways we can help you tackle your debts
- Impartial websites such as moneymadeclear.fsa.gov.uk or CCCS Money Matters offer valuable information and advice on saving money and tackling debt
Please note: The contents of these pages are not intended to be taken as financial advice or recommendation made by MBNA. You should seek independent financial advice if unsure about your financial needs.
Did you know?
One in 10 people in the UK have problems meeting their credit card debt repayments. If you’re having difficulty, remember you’re not alone and there’s plenty of free help and advice at hand. See external resources links on this site for assistance.
Other resources
Consumer Credit Counselling Service
Call free: 0800 138 1111
Pay Plan
Call free: 0800 716 239
National Debtline
Call free: 0800 808 4000
Citizens Advice Bureau
Reduce bills
Use Simply Switch to help you save money on regular household bills.
Are you in debt?
Take the FSA Debt Test.
Get in touch
If you have any questions about your credit card, call us on 0800 062 062.
If you’re in financial difficulty call us as soon as possible on 0800 028 0690.