While 20 years ago, folk would've been shocked at how low rates are even today, the direction of travel means anyone with debt needs to get on top of it sooner, to make it safer, before things get more expensive. So let me take you through the big categories to see if you can save £100s or £1,000s.

Mortgages

The cheapest rates have disappeared. The latest 0.25 per cent point base rate increase adds roughly £12/mth per £100,000 of mortgage for those on standard variable rates or tracker mortgages.

A 0 per cent balance transfer allows you to get a new credit card to repay debt on old cards, so you owe it instead but at 0 per cent.

Those on fixes won't see a change until their deal ends, but then many will be in for a shock. Back in October, there were over 50 fixed-rate mortgage deals below 1 per cent. Now the lowest fix is 2.1 per cent.

With further rate rises predicted, if you’re not locked into a fix or your fix is nearly ending, checking if you can save now is a must-do.

Look at your existing lender's deals. This is called a “product transfer”. It used to be a crap option, but these days, as existing lenders can forgo affordability checks if you're not borrowing more and there's likely to be less paperwork and fewer fees, it's a good benchmark.

Speedily check if other deals out there can beat that. Use a whole of market comparison site that covers all deals, including “direct only” (those that aren’t offered by a broker) such as my www.moneysavingexpert.com/mortgages/best-buys comparison.

If it looks like switching's a winner, focus on acceptance. Lenders do both credit and affordability checks which can kibosh applications. It's tough to know who'll accept you but find a good mortgage broker – they have information on this that's very difficult for consumers to get themselves. Sites such as www.unbiased.co.uk can help you find a face-to-face broker near you.

Credit/Store card debt

A 0 per cent balance transfer is where you get a new card to repay debt on old cards for you, so you owe it instead but at 0 per cent. As more of your repayments then clear the debt itself rather than cover the interest, you get debt-free much quicker (as long as you don't borrow more).

Check what cards will accept you before you apply using an eligibility calculator. Some firms offer this for their own cards, or you can use my www.moneysavingexpert.com/EligibilityCalc which shows your chances for most top cards, all in one place.Aim for the lowest fee within the time you need to repay. Most cards charge a one-off balance transfer fee, as a set percentage of the debt transferred. You want to minimise this, but if you’re unsure go for a longer 0 per cent length.

Up to 34 months 0 per cent is available. Lenders including uk.virginmoney.com and www.hsbc.co.uk offer deals over 30 months, for a roughly 3 per cent fee (at the time of writing). Though if you can repay quicker www.santander.co.uk offers the longest no-fee card on the open market, at 21 months – so if you can repay in that time, there’s no cost.Do watch out though: some cards are “up tos”, meaning some accepted won’t get the full 0 per cent length. Check for this in the summary box before applying.

Always follow the balance transfer Golden Rules: Clear the debt or transfer again before the 0 per cent ends or you'll pay the 20 per cent-ish representative APR in interest; never miss the minimum monthly repayment or you can lose the 0 per cent; don’t spend/withdraw cash on the card. It usually isn’t at the cheap rate.

Overdrafts

Overdrafts are an even bigger danger than card and loan debt. Almost all major banks charge about 40 per cent EAR for overdrafts, double the interest of many high street credit cards. That means most people with credit cards and overdrafts should pay the minimum on the card and focus on reducing the overdraft, not vice versa.

Can you switch to a 0 per cent overdraft? At the time of writing, two banks offer 0 per cent overdrafts for many newbies and even pay you to switch to them (check their eligibility criteria first to see if you can get the bonus). Full updated info in www.moneysavingexpert.com/BankAccountsFirst Direct: An ongoing £250 0 per cent overdraft & free £150. Switchers to www.firstdirect.com get the free cash and usually the 0 per cent overdraft (40 per cent EAR above that). So if your borrowing's under £400ish, the £150 will clear some debt and the rest is interest-free – a huge saving.Nationwide FlexDirect: A year's 0 per cent overdraft & free £100. Here, switchers can get £100 in cash and a credit-assessed overdraft, which for some can be larger than First Direct's – use the pre-application eligibility tool at www.nationwide.co.uk to get an indication. Yet the cheap rate only lasts a year, so plan to clear it within that time or it rockets to the 40 per cent EAR.Consider a 0 per cent “money transfer” credit card. For larger overdrafts, a few specialist cards allow 0 per cent money transfers for up to 18 months – where for a small fee the card pays cash directly into your bank account, clearing your overdraft, so you owe it at 0 per cent instead.

With an overdraft, do try to repay a set amount each month, eg, £50 (so you should start the next month with a £50 smaller overdraft than the month before).

In serious debt?

I’ve three questions for you – Do you struggle to make the minimum monthly payments? Is your total debt (excluding mortgage and student loan) over a year's salary? Do you have sleepless nights or depression/anxiety over debt?

If you've said yes to any of these, forget the solutions above and instead get free, one-to-one debt counselling from www.citizensadvice.org.uk, www.stepchange.org or www.nationaldebtline.org. They're there to help, not judge.

Martin Lewis is the Founder and Chair of MoneySavingExpert.com. To join the 7.5 million people who get his free Money Tips weekly email, go to www.moneysavingexpert.com/latesttip

A debt cost-cutting masterclass for mortgages, cards and overdrafts - Martin Lewis

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