In the last six months, almost half of all applications for credit cards have been turned down. Although rejections are a normal part of the application process, industry experts point out that they've risen 17% since mid-2007. For people who rely on easy access to credit, it's a symptom of the credit crunch that promises tough times ahead.
Looking further ahead, though, the credit squeeze could push some to take the necessary steps towards a more stable future that's less reliant on easy credit. After all, paying bills with credit cards - and paying off those cards with more cards - is no long-term solution. Being refused a card can be the trigger that makes someone tackle their debt, rather than trying to ignore it.
The first step, of course, is finding the debt solution which meets their needs. With personal debt standing at an all-time high of £1.4 trillion, today's media are full of stories about debt solutions - success stories and sob stories alike.
What are the options?
There are debt management organisations that help borrowers negotiate reduced repayments with their creditors. There are also Insolvency Practitioners who provide Individual Voluntary Arrangements (IVAs), helping people write off the debt they can't afford to pay back.
And many see debt consolidation as the way forward, allowing people to replace all their debts with one new debt, lowering their monthly repayments to a more manageable amount. What's more, consolidation loans / remortgages provide a way of tackling debt without damaging credit rating - all the original debts are paid in full, so there's no question of defaults.
However, some see consolidation loans as a mixed blessing, since they leave borrowers free to run up new debt on the credit cards, store cards and overdraft facilities that got them in trouble in the first place.
The one thing that everyone seems to agree on is that there's no universal 'silver bullet' for debt. Everyone's situation is different, so anyone who finds themselves in debt needs to think carefully about their options, and look for some impartial advice.
And if they don't? Choosing the wrong debt solution (or doing nothing at all) can make things worse, pushing them deeper into debt, hurting their credit rating or both.
What's the forecast?
As expenses like mortgage payments and council tax keep on increasing, people are looking to stretch their income further and further. And recent increases in oil and food prices have driven inflation above the Bank of England's target of 2 percent, leading economists to express doubts about any cut in interest rates before the end of the year.
The effects might not be immediate, but the Council of Mortgage Lenders believes that repossessions could rise by 50% in 2008, reaching 45,000 by the end of the year. And 170,000 people could find themselves more than three months in arrears, an increase of 17% on this year's figure.
As with any prediction, it's important to remember that these figures aren't set in stone. Of those 215,000 people, who knows how many will take steps today to avoid becoming a statistic next year? With good judgement and good advice, they might all move in the right direction.
Melanie Taylor is associated with Debt Advisers Direct. For more information about debt advice, debt consolidation, debt management, Individual Voluntary Arrangements (IVAs), managed bank accounts with a debit card facility, loans and remortgages, please visit http://www.debtadvisersdirect.co.uk/.