If you don’t keep a close eye on your debts, they can easily snowball leading to sleepless nights and early morning visits from large, muscle-bound men from debt collection agencies.

“But if you do find yourself in debt, it’s never too late to fight back,” says John Maxwell managing director of Virgin Money.

“The start of a new year is a great time to review your finances and to be honest about what you owe. Debt, like halitosis, won’t just go away until you face up to it.”

Ten top tips for taming the debt monster:

1. Prioritise

   If you are swamped by several debts, start by tackling them in order of priority. If you are struggling to pay your home loan or rent or other living necessities such as the electricity bill, then these should be paid first. If your debts are from personal loans, credit or store cards then rank them in order of the highest interest rate first. What do you mean you don’t know what the highest rate is?!

2. Budget

   Draw up a budget which will allow you to see how much money you have left at the end of each month to spend on debt repayment. Writing down details of what you spend will also enable you to see where you could cut back or make sacrifices and help control future spending. People are often stunned when they realise how much they’re fritting away on cocktails with umbrellas in them.

3. Switch

   Switch to a cheaper credit card and choose a card that has the lowest interest rates for debit balances; it can save you tens of thousands of Rands a year. Make sure you cut up your old card so you are not tempted to use it now that it is balance-free. Cut ‘em up good and bury them in the garden. These cards have been known to come back to life.

4. Cut

   Cut up any store cards to avoid temptation and write to the companies to cancel your account. If you don't do this, they will reissue the card when it expires and you will find it hard to resist unless you’ve been locked up by your creditors.

5. Speed up

   Speed up your repayments if you can. The sooner you repay your debts, the less they will cost you. The minimum payment on your credit card may look like an easy way out but if interest is mounting getting your finances straight will take forever. Remember, if you are paying off a loan, watch out for penalties if you try to repay it early.

6. Move your home loan

   Moving your mortgage can save you thousands if you can secure a lower interest rate. In a slower housing market, be bolshy with the banks. Secretly they love it and you will get a great rate. The money you save on your monthly payments could help reduce more immediate debts. Your mobile phone company can also advise on cheaper plans.

7. Earn more

   Increase your income by taking on overtime or a (legal) evening job if possible. Spring clean your home and sell unwanted clothes, CDs, books, electrical goods and anything you don't want at a car boot or garage sale.

8. Avoid the debt sharks

   Avoid debt consolidation and debt management companies. There is nothing they can do for you that you cannot do for yourself, for free. Plus they employ scary people that don’t understand the phrase ‘Soon, I promise.’

9. Keep talking

   Keep talking to your creditors. They will find it hard to be sympathetic if you ignore their letters and calls or tell them alien abduction is the reason for being late with your payment. Lenders are used to dealing with requests for payments to be reduced and interest to be frozen so you may find they can help.

10. Seek advice

    Tackling debt alone can seem daunting which is why it’s a good idea to get help from a top notch financial advisor. It does cost a bit but will be well worth the cost in the long run. Just make sure is it’s not Shabir Shaik.