Debt: 13 expert management and consolidation loan tips for help with bad credit on Debt Awareness Week 2025

• Debt Awareness Week aims to help people understand and manage their debt
• This year’s theme focuses on overcoming the stigma surrounding financial struggles
• Events, workshops, and online campaigns will provide free advice and support
• We spoke to some experts who shared their guidance on taking control of finances and making informed decisions

This week (March 24 - 30) marks Debt Awareness Week, first launched by debt charity StepChange to help people understand and tackle debt.

This year marks the 11th edition of the annual campaign, and its continuing mission to raise awareness of financial struggles and provide support to those in need.

Debt Awareness Week encourages people to take control of their finances and explore the resources available to them; this year’s theme is debt stigma and how to overcome it.

Various organisations, including charities and financial advisory services, will be hosting events and launching initiatives across the week, all designed to help people get back on track with their money.

(Photo: Pexels) | Pexels

To find events near you check local listings on sites like Eventbrite, Facebook Events, and Meetup, and local community websites or newspapers, But expect to see the following:

• Free budgeting and money management workshops
• Webinars featuring financial experts sharing debt solutions
• Community outreach programs offering one-on-one financial advice
• Online campaigns promoting real-life success stories of people who have tackled debt

We thought we’d get in on Debt Awareness Week too, gathering expert advice from financial professionals to offer some simple tips you can take to help you get your finances back in order.

A personalised morning news round-up with NationalWorld Today - sign up here.

Assess your finances and know where you stand

“Many people avoid checking their bank accounts or credit reports out of fear, but knowing where you stand is half the battle,” says Aaron Peake, Personal Finance Expert at CredAbility.

“Make a list of what you owe, including interest rates and minimum payments. That way, you can see which debts need tackling first.”

Prioritise high-interest debts

“Credit cards, overdrafts, and payday loans often have the highest interest rates. Focus on paying these down first while keeping up with minimum payments on other debts to avoid extra charges,” says Peake.

Cut unnecessary expenses

“Subscriptions you don’t use, sneaky bank fees, and overpriced bills can drain your finances,” says Peake. “Go through your direct debits, cancel anything you don’t need, and use comparison sites to find better deals on energy, broadband, and insurance.”

Don’t ignore your creditors

“If you’re in debt and experiencing poor mental health, avoid your situation getting worse by not ignoring the companies and people you owe money to,” says Victoria Copeland, Partnerships Manager at MoneyHelper.

“If you do, it’s likely they’ll continue to chase you rather than giving you time to sort things out.”

Understand your consumer rights

“If you’ve bought something and then decide you can’t afford it or don’t want it, cancel or return items and get your money back,” says Copeland. “Find out more about your consumer rights.”

Consider debt consolidation, but weigh the risks

“A debt consolidation loan can be a useful tool to make things more manageable,” says Fiona Peake, Personal Finance Expert at Ocean Finance.

“Swapping several debts for one fixed monthly payment can help with budgeting and, in some cases, reducing monthly interest payments.

“But remember, consolidation often means repaying the debt over a longer period, which could increase the total amount you repay in interest.”

Be careful with buy now, pay later schemes

“Buy Now, Pay Later (BNPL) can seem handy, but it’s easy to lose track when multiple payments stack up,” warns Peake. “Always check the repayment terms, set reminders, and make sure you can afford the repayments.”

Read more: The 5 best BNPL apps and deals in the UK - including Klarna and Clearpay

Monitor and improve your credit score

“Your credit score affects everything from loan rates to mortgage approvals, so it’s worth keeping in good shape,” advises Peake. “Try to keep your credit usage below 30% of your limit, always pay on time, and get on the electoral roll for an instant boost.”

Look for free debt advice

“If you’re struggling with debt, you’re not alone, and there’s no shame in asking for help,” says Peake.

“Charities like Money Wellness or National Debtline can talk you through options like debt management plans or repayment holidays. The worst thing you can do is ignore it.”

Stay disciplined with borrowing

“Before applying for credit, figure out how much you can realistically afford to borrow,” says Lewis Camilleri, CEO of Boshhh Mobile. “Lenders assess the percentage of your income that goes toward debt repayments.

“A good rule of thumb is to keep your total debt repayments below 30% of your monthly income.”

Check for hidden fees and charges

“Before you go ahead with any form of borrowing, look beyond the monthly payments,” warns Camilleri. “Factor in the total repayment cost, including interest rates, fees, and charges.

“Some loans carry early repayment penalties or hidden fees that make borrowing far more expensive than it appears.”

Build an emergency fund

“Unexpected expenses can make it harder to meet monthly payments. Aim to keep 3-6 months’ worth of expenses in savings as a safety net,” suggests Camilleri.

“Treat an emergency fund like an essential bill and add to it regularly. It protects you from falling behind on debt repayments if life throws you a curveball.”

Set a budget and stick to it

“Going through your bank statements and paperwork is never going to be very fun. But in doing so, you can get a better understanding of how much you owe, who you owe it to, and how much you have left to pay,” says TotallyMoney CEO Alastair Douglas.

“From there, you can work out your priority debts, how much you have left over each month, and set a budget to help you get debt-free.”

Are you taking part in Debt Awareness Week? Let us know in the comments! Whether you’re looking for advice, have a success story to share, or just want to chat about money matters, we’d love to hear from you.