SHOPPERS have been out in force across the UK for the January sales following a bumper Christmas spending boom.

That annual festive feeling sparks an impulse to over-spend, over-eat and over-indulge ourselves, family and friends.

But experts believe Britons are throwing caution to the wind and adopting a spend-now, pay-later attitude, often relying on credit cards to fund their shopping trips. But should we be concerned?

Cosmopolitan magazine agony aunt Irma Kurtz agrees.

"Spending too much on Christmas is fun," she says. "It's a real Scrooge who doesn't indulge once in a while. But trying to make Christmas happen every day of the year is more like a disease or addiction.

"People are trying to buy what's impossible to find in the shops - security, comfort and self-esteem and, like any other addiction, it's a downward spiral."

Kurtz believes the January sales take advantage of the leftover feeling of Christmas extravagance and can damage people's sense of values.

"It's important to use common sense. Buying on impulse is great therapy, once in a while, but sometimes it's better to go home and think about whether you really want or need it."

But, she says, anyone who overspends should forgive themselves instead of feeling guilty and work out a way to control spending in the future.

There's evidence, however, that our spending as a nation may be spiralling out of control. November's figures indicate this year's festive splurge has reached an all-time high with consumer borrowing topping a staggering £1bn.

Frances Walker, of the Consumer Credit Counselling Service, says demand for the financial advice service has tripled in the past month as people panic over Christmas bills.

"Many people are so stressed out with debt that bills go unanswered and threatening letters get ignored," she warns. "But this is the worst thing you can do."

There are many potential outcomes of allowing debt to spiral out of control. The worst is when debt-collecting agencies decide to take action in county courts to claim back the money owed.

This can lead to an unwelcome visit from the bailiffs to repossess property and goods as part payment for the money owed. Not only is it upsetting to have a price put on items of personal or sentimental value, it can also be degrading.

In extreme circumstances, Walker says, the courts can also order an attachment of earnings where a portion of the borrower's salary is redirected to the creditor.

And any county court judgement made against an individual will be recorded with Credit Reference Agencies for six years, making it impossible to get a healthy credit reference.

This means any fresh application for a credit card, bank loan or mortgage will be turned down while the unpaid debt remains on the borrower's record.

"If a creditor takes you to court," she warns, "you're very unlikely to get credit again - and it's very hard to live without credit. You can't rent a property without credit references or get a mortgage."

The counselling service also advises people to check the occupational implications of a bad credit rating. Walker explains that those with a county court judgement against them cannot be accountants, solicitors or work in certain occupations like financial services.

"If an employer sees a stack of bad credit records, it may also be difficult for them to trust you, and you might lose out on a job because of it," she explains.

Walker advises contacting the service free on 0800 138 1111 for financial advice to stop the problem escalating to this extreme level.

She says that, if you budget to pay as much of the Christmas debt off as early as possible, there'll be minimum interest added. And bills or court proceedings should always be addressed, so the borrower can take control of the situation.

"Otherwise you're going to be blighted throughout 2002," says Walker.

She also warns against consolidating loans.

"There are a lot of adverts for consolidated loans where you pay just one debt. Usually, it's against property, so you'd be turning an unsecured loan into a secured debt. If you can't repay, not only won't you be able to obtain credit, but you might also lose your home."

But these are extreme circumstances and splashing out on an occasional treat doesn't have to lead to disaster.

"If it's only overspending at Christmas and not a deeper problem, it's usually possible to work out your finances. But, if there are more profound problems, it can become more difficult to control overspending and manage a budget."