Don’t Let Yourself Get Depressed Over Debt

With the rise in living costs and stagnant incomes, some of us may be tempted by credit. There is nothing wrong with taking out credit if you can afford to pay it back, but it’s when we can’t afford it that things become a problem.

Debt and mental health

Sticking something on the credit card that we can’t quite afford might not seem that bad, especially if we rarely treat ourselves. But ultimately, getting into debt can make you feel worse off in the long run.

You might not be depressed because you have debt, but it can be a major contributor to depression and could have a worse effect on your mental health than you might think.

If you’re experiencing issues with your mental health due to financial problems or any other reason, there’s always help available. Look online or speak to your GP.

Avoid debt

There are ways to look after yourself and make yourself feel valued without breaking the bank. As things become more expensive with inflation rising, it’s good to make a list of things that you enjoy that don’t cost a lot of money, so when you think you can’t afford to treat yourself, you still can!

Cheap ways to practice self-care:

• Make your favourite meal
• Go for a long walk in your local park or wildlife reserve
• Sign up to a borrow my dog app and spend time with some furry friends
• Pick up a book, even if it’s one you’ve read before
• Unplug, switch off your smart phone and get off social media for an afternoon
• Have a clear out, spring cleaning can be a great way to free the mind. Check out our blog about making money from selling unwanted items!

Finding yourself in debt

Credit isn’t always avoidable. Not all of us would take out credit to make ourselves feel better. Many of us end up in debts because of reasons beyond our control such as redundancy or an unexpected emergency cost. When our monthly income doesn’t cover our outgoings, sometimes credit is our only choice.

Whatever reason we end up in debts, it’s important that you’re meeting payments and in full.

Missing payments, what can you do?

Once you start missing payments, creditors will often use tactics that are very stressful. These can be constant letters and phone calls. Many of us will feel like the situation is out of control and might resort to ignoring it – leaving letters unread and not answering phone calls. But this can make things even worse.

If you’ve ended up with more debts than you can handle, there are solutions out there available.

As soon as you realise you are having problems paying back your debts, it is essential that you act. You can directly contact your creditors or use a third party as a liaison.

Find debt relief

Many people choose a debt solution from a third party such as a Debt Management Plan (DMP), as this means a money advisor will negotiate with your lenders for you. If you’re feeling overwhelmed with creditors harassing you, it can be a great option to deal with your debts without having to speak directly to them. Minimise stress by let-ting someone else take care of it for you.

If you’re struggling with debt, a DMP can help you to turn several monthly payments into one affordable debt repayment.

Fill out our Debt Management Plan application to see how we could support you. Or speak to one our experts, always on-hand with debt advice.