By Leeza Clark

WITH TALK that a recession is on its way—indeed some say it's already arrived—credit crunch being the new buzz words de jour and the cost of living soaring, more and more people are finding it difficult to manage their finances.

Citizens Advice Scotland dealt with 500,000 enquiries relating to around a staggering £157 million of debt in 2006/07.

In Fife, Citizens Advice and Rights Fife and Fife Council's money advisers dealt with nearly 4000 enquiries—which amounted to over £22 million of debt.

In the 21st century, finding someone who is completely debt free is possibly easier than locating a hen with teeth, as credit is an accepted, but nonetheless expensive, part of life.

But debt may soon run out of control and interest on even the smallest loans soon mounts up as does credit and store card bills—particularly if the holder can only manage to repay the minimum monthly balance.

And soon many people may find themselves in a real crisis, facing a Hobson's choice of taking on more debt to cover the existing debt.

Or even resorting to money-lenders offering short term unsecured loans, but often with huge rate of interest—a terrible burden from which they may never find a way out.

However, across Fife more and more people are looking towards credit unions as a real, very practical solution, a common sense approach to managing their finances and balancing their cheque books, both in the short and long term.