Posts Tagged 'Debt'
Debt and Your Health
It probably comes as little surprise to most that debt and money problems can have a serious effect on your health. And debt worries don’t just cause mental health problems, but can have a detrimental effect on your physical health as well.
Stress, clinical depression, anxiety, sleeping problems and a loss of appetite are common amongst those with debt worries and all of these things can result in a negative effect on both your mental and physical wellbeing.
A recent document released by The Forum for Mental Health highlights the severity of the effect of debt on health. It states that half of the people in debt have some form of mental health disorder (obviously ranging in severity from the mild to the more serious). They put this in context by going on to explain that only 14% of those not in debt suffer a mental disorder of any kind. Their research has also found that people who owe money to five or more creditors are six times as susceptible to such disorders and that debt is also deemed by mental health experts to be an official suicide risk for those who suffer mental health problems.
These are particularly worrying statistics in light of rising unemployment. However, the facts and figures aren’t all doom and gloom. The research into the links between debt and health also found that between 84 and 90% of all those suffering debt related mental health problems saw significant improvement in 2 – 4 years when seeking the advice of debt advisors.
Anybody whose health is suffering as a result of debt would be well advised to seek assistance in dealing with the matter urgently. There are plenty of debt solutions and free advice available and seeking such advice out is incredibly likely to improve your state of mind.
Personal Finance Books for Children
It’s no secret that personal debt is something of a problem for the consumer driven society that we are. Credit cards, store cards, loans, buy now pay later, overdrafts… the list goes on and they all amount to one thing – spending money that we don’t really have. This in turn contributes hugely to growing debt problem facing a number of Britons. In fact, the average adult in the UK now has personal debt of over £30000 – or 133% of their annual income.
In a bid to curb this monstrous debt habit, the experts are advising that children should be taught how to manage their money. And it’s with this in mind that the Associated Press report today on three books about finance for children.
The Berenstain Bears’ Trouble With Money by Stan and Jan Berenstain is a picture and story book for young children aged 4 – 7. The Berenstain Bears are popular characters in children’s books and have been used to deal with a number of issues previously. And this is not a new book either – it was first published in 1983.
The Teen’s Guide to Personal Finance by Joshua Holmberg and David Bruzzese is a newer offering having been published for the first time last year. This offers information for young adults, much like the third book, Prepare to be a Teen Millionaire by Kimberly Spinks-Burleson, Robyn Collins.
Teaching Money Management is being recommended by personal finance experts who believe that educating younger people now can potentially prevent them from becoming debt ridden adults.
5 Ways to Avoid Christmas Debt
The Citizens Advice Bureau forecasts an increase in personal debt for many as consumers spend more than they can really afford over the festive season. After all, Christmas doesn’t come cheap! In 2008, the British spent a combined total of £43.9 billion and that figure is forecasted to rise to £44.7 billion this year. However, there are a few steps you can take to cut your spending without budgeting your enjoyment.
- Set a budget and stick to it! If you haven’t done so already, you should sit down and calculate exactly what you can afford to spend. Take into account your income and your regular living expenses and calculate conservatively!
- Use cash! Alright, so this is not possible if you are spending online, but when you’re spending in the shops, using cash means that keeping a tally on your Christmas spending is much easier. You know how much you have and you can see instantly when it runs out!
- Shop around. This is far easier online of course. But it’s a practice you should really employ in the shopping centres too. Yes, it can be nightmarish fighting your way through shops around the festive shopping period, but it’s worth your while to ensure you get the best deal.
- Special offers! Employ a little frugality and take advantage of the 3 for 2 offers and the discount days in major High Street stores. A number of the major chains have planned sales in the run up to Christmas and buying during these sales will make your money go a little further.
- Check online for discount codes. A quick search in any search engine will return a huge number of these that can be used when shopping online at various e-commerce sites to take a sneaky little discount off. 10% off a £10 purchase might not make an obvious difference to your bank account, but at Christmas we tend to spend significantly more and these discounts can make a noticeable difference.
Christmas tends to be expensive regardless of what thrifty tactics we use to cut our spending. However, the Citizens Advice Bureau warns of excessive credit card spending in the festive season, leading to a nasty debt hangover in the new year. Being a little more thrifty can help you stay within budget and avoid spending money you don’t have!