Although Brits may be more careful about how they spend their income, it seems that money lessons for debtors are needed as many are unaware of how to properly deal with their finances in the time of the credit crunch.

Norwich Union report that many Brits do not fully understand the different products which are available, which may lead to many facing debt problems, or even bankruptcy, due to poor financial decisions. Although we spend 180 million hours researching how to best spend our money, we have little idea about how to handle our finances.

Steve Genders, head of web at Norwich Union, says: “It’s clear from the research that the more time we spend researching, the less we know about what we’re buying. People need quality – and not necessarily quantity – searches.” Further findings show that almost 70% of us do not know what type of mortgage we own, and a similar percentage are unaware of how much their monthly home loan payment is.