A recent study by Experian has revealed that Scotland has six towns in the UK's 'bankruptcy top ten' - including Hamilton, Dunfermline and Paisley, The Scottish Sun has reported.
And residents of Livingston and the Fife towns of Glenrothes and Kirkcaldy are - statistically - twice as likely to face bankruptcy as people who live in other parts of the UK.
It's important that anyone struggling with their finances seeks professional advice before committing to anything. A debt advisor for example, may recommend that a Scottish resident enters a Trust Deed or the Debt Arrangement Scheme if they're carrying substantial unsecured debts, can't afford to repay them and don't want to be declared bankrupt.
Brian Cartwright, a partner at PricewaterhouseCoopers, commented on the findings, saying: "It's difficult to pinpoint why those towns should be different but Scotland has taken quite a lot of pain in the last couple of years. "Rising property prices meant people could take on debt more readily, but people are realising now that to borrow more is not necessarily a good thing." What about the rest of the UK? Overall, bankruptcies across the rest of the UK fell slightly during 2010. Areas in London (namely Chelsea and Kensington) were amongst the districts with the lowest levels of personal debt.
The findings also indicated that the biggest rise in bankruptcies was amongst married, middle-class and 'skilled working-class' parents.
Simon Waller, spokesperson at Experian, said that it's positive to see personal insolvency levels across the UK falling, but added that some areas of society are still facing real difficulties when it comes to repaying their debts.
What are the options for people struggling with unmanageable debts? The options that might be open to people struggling with unmanageable debts will vary depending on which country they live in - and their ability to clear their debts (amongst other things).
People in England, Wales and Northern Ireland, for example, could be eligible for an IVA (Individual Voluntary Arrangement), whereas residents of Scotland may find that a Trust Deed (generally seen as the Scottish equivalent of an IVA) is the right option for them.
Residents of any UK country could be eligible for a debt management plan or a debt consolidation loan - but these are two very different debt solutions for people in different financial circumstances. Debt consolidation loans, for example, aren't appropriate for people who are really struggling with their debts.
Someone in England, Wales or Northern Ireland might be advised to enter an IVA if they were in the same kind of situation.
Then again, bankruptcy might be the best way forward - it depends on the individual's circumstances.
Remember, though: an IVA or Trust Deed will be recorded on your credit history for six years, making obtaining credit more difficult during this time. And either approach may require homeowners to release some of the equity from their home as part of the agreement.