Why robbing Peter to pay Paul doesn't work
As more and more people throughout the UK continue to use their credit cards for short-term finance, there are concerns that many people are making difficult situations even worse. We are seeing more and more people using overdrafts to pay off credit cards and then using credit cards to cover their daily budget. While in a short term difficult situation this kind of action could, in a very few cases, give some breathing space, for the vast majority of people it leads to further heartache in the end.
If you are using different forms of finance to cover your everyday expenditure then basically your budget is higher than your income. You need to sit back, take a look your debts, your credits and your income to see exactly where you are. Using your credit card for short-term finance and using your overdraft to cover your credit card is a recipe for disaster. You need to make changes now and you need to appreciate that perhaps you have been living out with your means for some time.
It is essential that everybody in the UK is able to control and monitor their budgets on a regular basis because very quickly debts can balloon out of control and interest payments can often eat up the vast majority of your monthly income.
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