There are always times off and on when people feel strapped financially.

This fact of life has become relevant to more people than usual during this period of recession precipitated by the crisis in the banking industry.

Banks and building societies in the USA were guilty of crazy lending practices which beggar belief, allowing people to take out loans and mortgages that they were obviously completely incapable of ever repaying.

This came as a result of the lenders accepting pure self certification of income whereby the loan applicant wrote his earnings on something like a letter head without asking for any further proof.

These self declarations of income were exactly what the term suggests and that is the applicant for finance simply declared their own earnings on a bill head or similar without any back up proof of any kind.

The lenders started to struggle just as their customers did and the system became close to collapsing.

This crisis spread to the UK and to other countries, and the UK saw the first lender ever being completely nationalised as was the case with The Northern Rock.

Before long the economic chaos spread through one industry after the other and redundancies became rife in what were thought of as redundancy proof industries in the past.

Thousands of workers in the banking sectors were rendered as out of work, and before the recession bank jobs had been thought upon as a very safe position.

Manufacturing industries were badly hit, and those lucky enough to retain their jobs had their working hours cut causing a fall in their wages.

With many earning less the need for debt advice and debt consolidation has become more common and necessary than at any time in history, and it is essential to seek debt advice for debt solutions as soon as it becomes apparent that there will be a financial problem.

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