Living With Debt Stress and Where to Find Help

The Secret Anxiety of Money Worries and Finding a Debt Solution

Oct 31, 2009

Finding Debt Help When Living on Credit, Peter Forster

Living with debt can cause depression, particularly if the debtor does not tell anyone. The first steps to finding debt help can be overwhelming and frightening.

One in eleven people in the UK report that they are in debt. This figure rises to one in four for people with mental health problems (The Office of National Statistics, 2002). More worryingly, more than a third of people in debt do not tell their partners, and women find it harder to admit their debt problems than men (Consumer Credit Counselling Service, 2007).

Indeed, the CCCS chairman, Malcolm Hurlston describes debt as a “lonely secret.” This can have added poignancy at times like Christmas and when organising package holidays.

MIND’s report In the Red, Debt and Mental Health, (2008) describes the serious impact that debt has upon mental health to the degree that it may contribute to family breakups and even suicide. The report also describes the need for financial institutions to take into account the psychological impact of debt upon consumers, and that reform is needed.

Looking for Help With Debt

Awareness of these figures may offer reassurance and spur the first steps to resolving the issue. But facing debt for the first time can be frightening and evoke powerful emotions, which may be:

Fear
Denial
Guilt
Despair
Embarrassment
In the long term, depression

Finding Debt Help for the First Time

The following approaches may help when revealing or discussing a debt problem:

Assign a special time to discuss it. This should be a quiet time when there are no pressing matters or interruptions
If this proves difficult, writing a letter might be a good approach
Blame will have a counter effect. The past cannot be reversed. Only the future can be changed
Sticking to the point as opposed to dragging in other issues will help maintain focus on the problem
Do not expect to resolve the problem in one sitting
Emotions come and go. The cathartic experience of discussing debt for the first time will often pass
If emotions become raised, it is best to allow a cooling off period. A third party from a support service will help
According to MIND, having a network of supportive people is crucial for dealing with the emotional distress of debt and is better than facing it alone

Debt Assistance

The Consumer Credit Counseling Service (CCCS) offer easy first steps to taking action via their online Debt Remedy questionnaire, which asks simple questions regarding income and expenditure, which is confidential. From this, a CCCS Debt Remedy tailored to fit can be worked out
The person in debt might not be aware of debtor’s rights that could make the debtor feel more empowered and able to deal with the problem
Free debt counselors will help the debtor work out a debt management plan (DMP) around a family budget

The following debt counseling services are also crucial

Citizen’s Advice Bureau
National Debtline
Office of Fair Trading
Financial Ombudsman
Consumer Credit Counseling Service
PayPlan
The Samaritans

Debt Advice

According to MIND’s report into how people deal with debt worries, thousands suffer in silence. Talking about it for the first time may evoke powerful emotions, but this could be the first step to moving forward. In some cases writing a letter might be the best approach, but contacting a free debt counseling service could help resolve debt once and for all.

The copyright of the article Living With Debt Stress and Where to Find Help in Personal Debt Management is owned by Rachel Wills. Permission to republish Living With Debt Stress and Where to Find Help in print or online must be granted by the author in writing.