FARNHAM residents are believed to be among the hardest hit in a national "debt crisis", it was revealed this week.
Disturbing statistics recorded by Farnham Citizens Advice Bureau (CAB) show that the amount of debt among clients has shot up over the past year to £705,000.
Gabbie Joyce, the manager of the CAB, said: "Right across the country people are building up substantial amounts of debt and even in prosperous and leafy Farnham we are in the middle of a debt crisis."
The problem, which is believed to affect hundreds of residents in the town, has been blamed by Ms Joyce on a "massive increase" in spending and borrowing. A high cost of living and shortage of affordable homes has also been highlighted as an important catalyst in the debt explosion.
Some 120 clients have visited the CAB this year, with a total debt of £705,000 - an increase of £223,000 in the total debt recorded among a similar number of clients last year.
Many more residents in the town and its surrounding villages are believed by CAB staff to be suffering in silence.
Frustrated by the large number of debt management companies who promise to deal with customers' problems for a "sometimes very substantial fee", Ms Joyce urged anyone who is experiencing financial difficulties to make the CAB their first point of contact.
"Debt management companies and financial advisers can charge in the region of £90 per month in addition to the payments, I believe this money could be much better spent. The CAB offer help and advice for free, I think more people would benefit from making use of our service," Ms Joyce remarked.
Ms Joyce also hit out at the promotion of "unethical" finance schemes which lead customers further into the spiral of debt.
"So many businesses are promising nought per cent finance until next year, and other similar offers, and it's just too tempting for some people to resist. Business is business but it seems to be getting too easy for people to get credit and loans."
Her concerns are backed by the case records at Farnham CAB, which show clients' budgets being crippled by their overcommitment to repayment plans.
A national study by the CAB - In Too Deep - which was published in May of this year, showed similar problems across the country. Records from CABs around Britain showed consumer debt had risen by a massive 47 per cent from 1997 to 2002.
On both a national and local level more women than men are experiencing debt problems, and there has been a significant increase in the number of people in the 18 to 24 years age group seeking financial advice from British CABs.
Reports have also been received in Farnham of CAB clients suffering from physical and mental health problems caused by the stresses of debt, and financial problems have been labelled as one of the major causes for arguments between partners and family members.
"Nationally the picture is very grim and what we have seen in Farnham reflects that. Living with large debts is becoming a much more acceptable lifestyle these days, which is fine if people are able to manage their debts, but unfortunately there are a lot of people who just cannot cope," Ms Joyce added.
Ms Joyce went on to raise concerns for the future, commenting that she believes it is "inevitable" that the crisis will continue.
"Students are leaving universities and colleges with thousands of pounds worth of debt. Young people who don't continue their education also face financial problems caused by an overheating economy and a shortage of affordable housing," Ms Joyce claimed.
On a more positive note however Ms Joyce reassured local residents that help is at hand.
"We have 11 debt case workers in Farnham who are able to draw up repayment plans for clients and to advise them on how to handle their budgets."