Personal debt has always been a problem for some, but it is clear that recent events surrounding the economy have not helped.
Recent figures released from Credit Action have revealed that debts owed to others by individuals – on things such as credit cards and store cards – are still rising. The amount shown in the latest report is 0.8%, which may not sound like much but you need to take it in context of the total amount owed. This amounts to £1457 billion pounds.
According to the latest Bradley Associates reports it could well be. If you have ever been in debt – or you are in debt now – you know how worrying it can be. The debts hang like a millstone around your neck, constantly on your mind and rearing their ugly heads every time a new bill comes through the letter box. It’s no wonder we feel low both mentally and physically when we have personal debts to contend with.
One of the most notable things about having debts is that we tend to keep them to ourselves. Many people feel ashamed about being in debt, and this means they don’t share the problem. We all know that bottling things up is not good for us, which is one reason why people in debt tend to feel more stressed and worried than people who aren’t.
It is also true that the worse the problems get, the worse the physical and mental symptoms of stress are likely to get as well. The Consumer Credit Counseling Service has discovered that around half of those it talked to cited poor health as a result of having the debt in the first place. The symptoms vary between different people but the pattern is clear – being in debt is not good for you financially, but it isn’t good for your health either.
The research also found that a number of reasons had led people to be in debt in the first place. A relationship breakdown and job losses were high on the list, unlike overspending, which was surprisingly further down.
It is clear then that it is in our own best interests to solve the problems surrounding our debts as soon as we can. Even if this means coming to an agreement with our creditors to pay back smaller amounts on a regular basis, it could make all the difference to our health.