People in Medway are being warned not to take out a loan to cover Christmas bills and start 2017 in debt.

Citizens Advice Medway is campaigning about the risks of using high-interest loans or even illegal lenders as a quick fix for debt and other financial issues – especially during the festive season when there is more temptation to spend.

The charity wants people to know what the risks are with these loans, what alternatives there are for managing their finances, and how they can avoid being exploited.

Research by the Medway branch of the advisory service shows a £1,000 loan with one high-street lender will end up costing almost double, at £1,807.56, if repaid over 12 months.

Dan McDonald, chief executive of Citizens Advice Medway, said: “We know that a lot of our clients are suffering from financial hardship, and that this only worsens over the festive season.

“We also know that unscrupulous lenders are ready to pounce on anyone struggling to make ends meet, charging them outrageous rates of interest for short-term loans.

“Our staff and volunteers are here to help people manage their finances sustainably and avoid the risks with high-credit lending. We know that the best way to tackle this problem is by taking action to get your situation under control in the long run, rather than gambling on an overnight fix.

“We welcome the Prime Minister’s recent recognition that too many hard-working families are struggling to manage financially, and we await government action to make things easier.”

For advice, call Citizens Advice Medway on 01634 383760, see www.citizensadvice.org.uk or visit the branch at Kingsley House, Balmoral Road, Gillingham.

The charity will also be holding public information events in the run-up to Christmas. Details are yet to be announced.