“This all boils down to a better understanding of where their money actually goes each month, and shows that changes big or small can have a dramatic impact.

“Overpayments on loans and mortgages have a snowball effect - offering future savings in interest.

“But even if overpaying isn’t an option, the pandemic has reminded many of us that a small amount of time spent on life admin - switching to a lower rate mortgage or a cheaper energy provider, for example - can have just as big an impact.

“Businesses and consumers alike have also learnt the perils of living hand to mouth, so despite low returns on savings, it’s important to make sure you have a buffer.”

READ MORE: Britons use lockdown to pay off billions in debt - did you?

The first step for many people in becoming more financially healthy is to improve a credit score.

A credit score is a number which provides lenders with information surrounding the likelihood a person will pay credit back.

This can affect a person’s ability to gain a loan, dependent on the risk calculated from their credit score.

Therefore, the higher the credit score, the more likely a person is to receive a loan when asking, and the more likely a person is to be financially healthy.

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The government has also provided advice about paying off debts through its Money Advice Service.

Those who are struggling may be able to acquire a Debt Management Plan or Debt Relief Order to provide them with a support plan to meet debts. 

But firstly, the government advises it is correct to pay off debts in the right order. 

Priority debts, those which carry the most serious consequences if not paid, should be addressed first before other debts which may have accumulated for Britons.