Christmas is meant to be a happy time of year, but increasingly it has become one of the most difficult for many families due to the expenses. With the UK struggling with the recession, times are hard for many and this time of year can add considerable pressure on many household’s budgets and relationships.

According to a recent study, Christmas debt will be more poignant than ever this year as one in ten adults still have not paid their credit card debts that have built up from last Christmas. That equates to a shocking 4.5 million people. Once you add that debt to the money going to be spent this year, the effect could be devastating for some families.

These figures have come as no surprise to the IVA Watchdog who work with people experiencing financial difficulties. The IVA Watchdog was established to review IVA’s (Individual Voluntary Arrangement) and advise people on better financial solutions.

Tony Carter from IVA Watchdog says, “Since the economy has taken a down turn, there are a number of companies that have sprung up willing to cash in on people’s misery and debt such as time consuming and costly IVAs. With Christmas just around the corner, we will be expecting a greater volume of calls for help from people looking for ways to manage and eliminate their escalating credit card debt.”

Consumers will no doubt try to spend less this year. A study by the Vouchers team at Moneysupermarket.com has reported that the average Christmas shopping fund will be down to £232 this year compared to the average of £376 last year.

If you’d like to cut the costs of your shopping trip this year then visit the Moneysupermarket.com Vouchers channel and see what savings you can make - http://www.moneysupermarket.com/.

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