The importance of managing finance-related stress
By Mr Bankruptcy
20th October 2022
It seems as though a day doesn’t go by without the news reporting how bad the financial situation is likely to get. For many people this persistent messaging is becoming overwhelming, highlighting the importance of addressing debt difficulties for mental as well as financial wellbeing.
The impact of financial stress
A recent study by the ONS reported that 77% of adults reported feeling very or somewhat worried about the rising costs of living. Furthermore, 50% of those who said they were very worried about rising costs felt those worries nearly every day.
Financial pressures take their toll on our mental health; the Money and Mental Health Policy Institute reported that nearly half of people with debt problems also have a mental health problem. In fact, 1.5 million people are experiencing both problem debt and poor mental health.
How are debt and mental health connected?
Being in debt can often cause stress and anxiety, but beyond this there are several ways in which debt and mental wellbeing are connected:
- Mental health can affect your ability to work and earn money, which reduces income and makes it harder to pay the bills.
- People spend money to try to help themselves feel better, putting them deeper in debt.
- Financial problems can impede recovery from mental health.
- If someone feels ashamed of their debt, they can feel isolated and struggle to ask for help.
- People with unmanageable debt avoid conversations with creditors or opening bills because they feel overwhelmed.
- You may not be motivated to deal with debt and find it difficult to initiate action, because it causes anxiety and looks like an impossible task.
- Worrying about money interrupts sleep, affecting overall wellbeing.
- Being in debt leads to cutbacks on essentials such as food and heating, affecting physical, and therefore mental, wellbeing.
The institute’s survey found that when unwell, more than six in ten people (63%) found it harder to make financial decisions, 42% put off paying bills and 38% took out a loan that they wouldn’t otherwise have done.
Taking action
It is worrying to feel the impact of debt on your life, but it’s important to remember that you aren’t alone; support is available.
Talking to someone you trust, or seeking professional advice to guide you towards taking actions, will help you to take back control of your debt and learn to look after your mental health again.
James Rosa Associates
James Rosa associates is a firm of debt advisors and debt adjustors. With a supportive and friendly approach, we take into account the effect of debt on our clients’ mental wellbeing.
We offer a full range of advice and professional services to individuals and business owners/directors who face unmanageable debt or who are involved in civil or commercial disputes. Our services include:
We are authorised and regulated by the Financial Conduct Authority (FRN665061) to work with clients to produce bespoke solutions to fit their specific circumstances.
Find out if you qualify for a free consultation
If you need to deal with unmanageable debt, or bring a dispute to a swift and cost-effective resolution, contact James Rosa Associates, ring 0845 6807217 or email enquiries@jamesrosa.co.uk to find out whether you qualify for a free consultation.
Please be advised that all views expressed in these posts are those of the author and not of James Rosa Associates ltd.