. Any ratio above 43% is considered too high and a sign of indebtedness.”National Debt Advisors suggested that the following signs could be indicative of addiction to debt within households:Being in arrears for more than two months on a credit commitment or household bill;When spending on total borrowing repayments takes consumers below the poverty line.
When this happens, it’s time to reevaluate your living expenses and look at ways to live more frugally by not taking on any new debt.This phrase may sound simple but, as the unwritten rules of the debt trap would have it, it really isn’t. One of the devious ways that creditors might lure you into overwhelming debt is by offering you very attractive credit products that fall right at the edge of your affordability scale.