Probing Deeper Into Debt And Its Emotive Effects

The common belief among people is that debt is bad as it can affect the credit score. Well, true as it is, debt can also cause a lot of damage to your health as well, both physically and emotionally. In short, debt can literally drive people crazy.

However, people also believe that their credit card provides them that support and peace in mind when they need the money and often use it more than it is required. What they do not realize here is that in the process they are simply transforming one debt to another and this time into a larger one with a higher rate of interest and for a much shorter time period.

Confusing, isn’t it? Well, this is the complex nature of debt and its magic as well to pull you deep down inside the black hole leaving no way to come out of it.

More about debt

Debt occurs when you cannot pay a bill. It can be the monthly installment of a loan or credit card, it can be your rent or other utility bills and when these bills accumulate, it takes away your happiness.
People often say that money cannot buy happiness. Well, these people probably say this not looking at the stack of bills that is slowly growing every month. If they saw it, these same people will say that there is no joy in not paying the monthly bills.

Money, in such a situation is perhaps the only thing that can pay these bills and buy happiness back for you. Therefore, in debt situation money is what you will need. Though it may not buy a whole lot of happiness it is surely a much better alternative than to sulk and suffer in silence.

Therefore, it can be said that money and debt both results in a psychiatric condition in which few people find solace in the bankruptcy proceedings while others may look for alternative ways for relief from sources such as or others. However, nobody has found that happiness in any of these acts when performed. This leaves with only one conclusion: to have enough money is what happiness means.

When you have enough money you can

  •      Pay all our bills on time
  •        Save for retirement and exigencies
  •         Provide more than the basic necessities for your family
  •         Make a proper plan for your kids’ future
  •         Enjoy your leisure time better and lots more

On the other hand, if you do not have money it will not only restrict your actions but also curb your pleasure and get ‘addicted’ to loans and debts. This will wreak havoc emotionally, financially and professionally on your psyche. Borrowing money to pay your monthly bills will lead to all kinds of issues that may not have anything to do with your accounting but everything with your psychology.

Debt really hurts

Debt can really hurt and hit real bad. It will start showing all its negative effects right from the time when you fall back on your bills. It will affect in ways more than one such as:

  •          It will lower your self-esteem
  •       Impair you're cognitive functioning
  •          You will learn less and remember less
  •          You will experience a lack of focus and concentration
  •          You will lose problem-solving and decision-making ability and
  •           Freak out over the minutest of issues. 
You will be surprised to know that according to a study report published by Psychology Science in their January 2016 edition it was found that most of the 33,720 US households considered, those having a high level of debt and unemployment were found to purchase more pain killers over the counter.

If that was not surprising enough for you then here is another that will surely blow your mind out from its place. Another research team discovered that people often felt an increase in pain by simply thinking about a few predictions prospects of their financial insecurity. It is found that when people recall their financially unstable time, they feel twice as much physical pain in comparison to those who thought about their financially secure period.

Emotive effects of debt

Probing further into the emotive effects of debt you will know that it can cause mental illness. It is true that no one in this world is devoid of problems, rich or poor but in most the cases people are often caught napping. Situations that may lead to money issues can be diverse and inevitable such as:

·         Jobs may disappear

·         Troubles may happen

·         Marriages may fail

·         People may get sick

·         Homes and stocks may lose value and
·         Bills may simply keep on piling up.

No one can avoid these issues as and when they come and they are not immune to these either. These situations will surely cause a lot of pain.

Responding to debt early and effectively having a proper debt management plan most of the times help to avert such situations that may result in mental illness eventually. This probably is the best answer and solution that several researchers have come up for these issues after years of research.
This the simple yet effective way will help you to avoid mental conditions that often have a chain reaction such as:

·         Stress that is triggered by debt

·         Reduced resilience due to this stress

·         Increased mental health issues due to reduced resilience

·         Lowered self-control due to mental health problems

·         Increase in unnecessary spending due to low self-control

·         Making improper financial decisions and judgments due to increased spending habits

·         Use credit card even more as a result of improper decisions and

·         Take on larger and costlier debts due to excessive and unnecessary use of credit card.

Can you see the cycle of debt that leads to further debt?

However, there is no reason to believe that mental illness will indicate diseases like schizophrenia and you will need to wear a straitjacket for your whole life. All you need is to look at debt straight into its eyes, make some straightforward plans to deal with it and stay away from these emotive effects of debts that are often unsettling. Be as decisive as solutions are always within reach. All you have to do is, find it.


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