Most peoples, who caught in debt, are taking handsome salaries, so they want to rise in life and in this case they expand the expanses to fulfill the dreams of having bigger cars, bikes and etc.

In India, Debt companies come in action and consolidate or help these peoples in how to reduce their debt or expanse.

Example – When middle class person get a job and bank account, they get some great offers from bank on Credit Cards and personal loans, most peoples take the offers and stuck into financial problems or personal finance issues. When peoples stuck in debt or not be able to pay the debt than they taken personal loan to pay old loans or old debts.

Though there are RBI-issued guidelines for Financial Literacy and Credit Counseling by financial institutions and many banks offer debt counseling services to clients, very often customers in debt are wary of approaching their own lenders for recourse for their debts.