Rocky relationship with debt
Losing financial assets, such as property, is not the only thing at risk from having an unhealthy relationship with debt, according to a new survey.
Psychological health issues including low self esteem and anxiety have been found with those who are not managing their debt well, found personal debt management company Debt Rescue.
The financial security and personal health of 68 per cent of Australians are at risk, with the online survey finding that 83 per cent of respondents said that it had caused them stress, while two thirds said it had caused depression and anxiety.
Those who manage debt in their lives, such as investors, should consider seeking help, according to Debt Rescue operations Manager Rachael Witton.
“Often people don’t realise this until they hit the lowest of the lows so it is important to seek professional help and take positive steps to address debt stress before it gets out of hand.”
Relationship issues were also found to be caused by debt.
“People sometimes feel that heavy debt burdens and aggressive creditors render them helpless in dealing with the situation,” said Ms Witton.
“There are some important tips to keep in mind and some ways of managing the process that can deliver real, tangible solutions to what might otherwise seem impossible circumstances,’’ she said.
Suggested tips for investors dealing with debt involve budgeting, debt consolidation, informal and formal debt agreements, personal insolvency agreements and bankruptcy.