The Financial Services Authority (FSA) has revealed that many homeowners are concerned about how they can meet their mortgage repayments.

Its director of financial capability Chris Pond warned that economic conditions are tough at the moment, causing pressure for household finances.

The organisation urged worried homeowners to check their budgets and plan how they could cope if their mortgage payments rose suddenly.

Homeowners should be active if they fear they could fall behind with their payments and consider speaking to their lender if they are struggling, the FSA continued.

"For those who are really struggling, don’t panic. Talk to your lender or get free, confidential debt advice," Mr Pond said.

Some debtors could manage their mortgage payments were it not for the high cost of maintaining their debt and this situation could be causing them concern that they will be unable to afford their repayments and could lose their home.

One option for such borrowers would be an individual voluntary arrangement, usually called an IVA, which allows them to repay an affordable sum each month and to retain possession of their home.

More than 3.2 million people in the UK own five or more credit cards, despite a rise in concern over debt issues, a new report has warned.

A study by MoneyExpert.com has revealed just under 80 per cent of adults have at least one credit card and 28 per cent of Britons applied for further plastic during 2007.

However, Sean Gardner, chief executive of the site, warned that debtors who are juggling five or more cards because they owe money to all of them are probably "in real trouble".

"We would urge borrowers to take action now to get their debts under control as the days of easy credit are long gone," he continued.

For some people, without access to credit with which to refinance their borrowing, their money worries may seem to be increasingly beyond control.

As the credit crunch dried up access to cheap borrowing, some debtors could be concerned that they face bankruptcy.

However, there are other options and one alternative is an individual voluntary arrangement, usually called an IVA.

Three in five people who are struggling with financial difficulties have not sought debt advice to help them manage their problems, a new report has revealed.

A study by the Money Advice Trust, conducted in conjunction with Equifax, found some debtors believe there is a stigma attached to admitting to money worries and difficulties.

Joanna Elson, chief executive of the trust, said: "This new research is extremely worrying as our experience suggests that if you do get into difficultly, seeking advice as soon as possible is the best option to help you sort out your problems."

She added that there are always routes out of financial difficulties and the earlier a person seeks help, the more options will be open to them.

One possibility is an individual voluntary arrangement, usually referred to as an IVA.

These agreements allow a struggling borrower to repay an affordable monthly sum for a set period of time, at the end of which any remaining debt is written off.

Creditors can receive tax breaks to ensure they do not loose out through such arrangements and debtors are usually made debt-free after a period of five years.

Years of easily-available credit have left many Britons keen to spend "tomorrow’s money today", an expert has warned.

Cliff D’Arcy, a commentator for financial advice website Fool.co.uk, suggested that credit has become an "ingrained" aspect of life in Britain.

In fact, the country’s debt burden has never been greater, he warned.

Before a person can get themselves out of debt, they must understand the total, Mr D’Arcy continued.

He urged: "Begin by bringing together all of the paperwork relating to your debts. Find the latest documents regarding your credit and store cards, car and personal loans, overdrafts, store finance agreements and so on."

Then, debtors should throw as much money as they can at their borrowing, beginning with the most expensive, the personal finance expert concluded.

However, when they list all their borrowing, some debtors may find that they cannot afford to maintain the amount without refinancing.

One option for those facing such problem debt is an individual voluntary arrangement, or IVA, an agreement which allows them to repay an affordable monthly sum for a set period.

At the end of that period, any remaining debt can be written off, setting the person debt-free.

Britain is a nation facing rising levels of personal debt but decreasing levels of savings, an expert has claimed.

Chris Cummings, director general of the Association of Independent Financial Advisers, told online resource Money Marketing that it is vital consumers are offered professional financial advice to overcome that.

With advice, Britons could reduce their personal debt by a national total of almost £30 billion, the adviser stated.

The association’s research also suggested that "within four years of low to medium income population groups receiving financial advice – and only one in ten acting on it – new contributions to medium-term savings plans would increase by £1.5 billion," he said.

Debtors who are keen to reduce their own personal debt levels have a number of options open to them, including debt management, individual voluntary arrangements – usually called IVAs – and debt consolidation.

With an IVA, any money still owed at the end of the fixed period can be written off.

British consumer debt issues are not as severe as they were in the early 90s, an income specialist has claimed.

Chris White, of Threadneedle, made his comments to the Citywire news resource, predicting that consumers could still face a difficult period as the country "flirts" with recession.

However, he suggested that wider economic factors make it unlikely the country will experience the problems it did during the last decade.

While Mr White’s words may reassure many, those debtors who are already experiencing problems because of the credit crunch may be less optimistic.

For some households, the rising cost of debt means they can no longer refinance their credit and is squeezing their income.

There are many options to those struggling to cope, one of which is an individual voluntary arrangement, more commonly known as an IVA.

Such agreements are made through the courts and allow debtors to make an affordable monthly payment for a fixed period, at the end of which any remaining debt can be written off.

Consumer confidence is low and Britons are increasingly concerned over their ability to meet bills and to repay their debts, it has been claimed.

According to financial report firm Credit Expert, almost one in ten people are concerned they will be unable to manage their money.

Furthermore, an increasing number of people who rent have resigned themselves to being unable to ever buy their own home.

Darryl Bowman, director of Credit Expert, commented that as consumer confidence fell considerably during the recent economic slump, it is not surprising that people believe they cannot afford to buy a house.

Consumers must make sure their "credit report is in the best possible shape is crucial to allow you to be judged fairly by lenders and to be able to extend the amount you can responsibly borrow – particularly in the current credit cautious climate," he urged.

However, for some debtors such comments about responsible borrowing come too late as the repayments caused by years of easy credit are now squeezing their household income.

One option for those who are concerned that they cannot meet their debt obligations is an individual voluntary arrangement, usually called an IVA, which allows debtors to repay an affordable amount for a fixed period.

Millions of Britons are about to realise that their take-home pay is not sufficient to cover their debts, a new report has claimed.

A study by accountancy firm KPMG has revealed more than 20 per cent of debt-ridden adults already find it hard to manage their money, the Daily Telegraph reports.

It discovered that 35 per cent have concerns that they will find their repayments even more difficult to meet in a year.

The research was undertaken on behalf of ITV’s new documentary Repossession, Repossession, Repossession.

Steve Treharne, a partner at KPMG specialising in insolvency, told the newspaper many people will find 2008 a financially unsettling year.

"A lot of people have been living the life of Riley on credit … This is all going to have to stop. It is unsustainable," he asserted.

Many people will already have been worrying about the cost of servicing their debt obligations as the rising cost of fuel and food squeezes their household income.

One option for struggling debtors is an individual voluntary arrangement, usually called an IVA.

These allow borrowers to repay an affordable sum for a fixed period, at the end of which any remaining debt is written off.

Manchester has the highest concentration of debt stress in the UK, according to recent research.

Figures from credit reference agency Experian show that almost 29 per cent of households across the city are dealing high or very high levels of debt-related stress and for some consumers the problems have become so severe they have contemplated suicide.

An ITV program this week will highlight the plight of some of the country’s most seriously indebted consumers, including 23-year-old ambulance worker James Masterman who is convinced his arrears will take decades to pay off.

Mr Masterman told the Manchester Evening News: "It was like, ‘well, what’s the point anymore? I can’t afford to keep on going, I can’t afford what I’m doing. I can’t afford to live’."

Individual voluntary arrangements, also known as IVAs, offer a way out of debt for thousands of people each year in the UK.

The latest figures from YouGov suggest that there are currently close to eight million Britons in serious debt trouble.

Although there has been a one per cent decrease in bankruptcies, there is still a "rough ride" ahead for those with debt issues, according to Grant Thornton.

Figures released by the Insolvency Service for the fourth quarter of 2007 also showed a decrease in individual voluntary arrangements (IVAs), which were down 8.2 per cent to 9,188.

Head of personal insolvency at Grant Thornton Mike Gerrard commented on the figures, suggesting that many in debt are simply not seeking help, whilst others had their IVA application rejected.

Mr Gerrard said: "People are being squeezed for their money and while some take on unmanageable debt needlessly – a greater majority are doing so to keep themselves afloat."

He added that the uptake of IVAs was likely to increase in 2008, as a new code will "make the IVA process more transparent".

Figures from Credit Action reveal that interest repayments in Britain are now at a record level, with £94.6 billion paid in 2007.