The Citizens Advice Bureau's top ten tips for people in debt:
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Don't panic and don't ignore the problem - it won't go away.
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Don't take out more credit including adding to your existing credit cards - you'll only make matters worse.
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Contact your creditors and let them know you are having problems.
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Don't pay off the person who is shouting the loudest, but pay the most important ones like mortgage or rent, council tax, and gas and electricity. Otherwise you risk losing your home, having your gas and electricity cut off or ending up in court and possibly prison.
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Don't ignore court papers.
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Find out if there are any benefits you are entitled to. For example, Tax Credits (contact HMRC 0845 300 3900), Housing & Council Tax Benefit (contact Eastbourne Borough Council 410000) or Pension Credit (contact 0800 99 1234).
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Make a list of all the money you have coming in and all the things you have to pay out on each month. Is there anything you can cut down on?
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Work out how much you can realistically afford to pay.
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Think twice about taking out a loan to pay off all your debts - you may end up paying back a lot more than you borrowed and at very high interest rates; you may not be able to afford the repayments; and the loan may be secured against your home which you could then lose.
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Don't pay for advice. The CAB gives free, independent and confidential advice. We can help you work out repayments and negotiate with your creditors and also help you keep out of debt in the future.
