DEBT MANAGEMENT

With total borrowing standing at more than €350 billion and more than €170 billion owed from households on mortgages and other loans, the Sunday Business Post publishes a four-page guide on how to manage personal debt better.

The tips include a so-called “ten commandments of borrowing” and where to find the best loan deals. Most of it is plain common sense and retreads old ground but there are some nuggets.

• Always use APR interest rates rather than the headline rate given on promotional offers – that way you will see the real cost of the loan over its term
• Zero per cent interest rates offered by stores on expensive items may only last for a year and then you may be crucified for the remainder of a loan term where you cannot repay early – always read the small print
• Be particularly wary when it comes to financing a car through hire purchase – you may think you own it but you don’t until you have made the last payment