Debt not only affects your financial condition but also your physical and psychological health. That is why you need to learn how to cope with debt stress and stay healthy. Both loans and stress are related to each other. When you fail to repay your debt for several months and creditors pester you for payments, it is natural to feel stressed and overwhelmed. You start to worry and feel anxious about whether you can repay your creditors and become debt-free. Debt leads to many health problems such as insomnia, difficulty to focus, fear, anxiety, depression, physical pain, mood swings, irritation, anger, and frustration. In medical terms, stress related to debt is known as debt stress syndrome. According to researchers, the health impact of debt is grave and monetary issues can aggravate your stress levels, taking a toll on your health, making you sick.
Continued stress is related to high blood pressure, diabetes, high cholesterol, obesity, and pain. When you are plagued with debt-related stress for several weeks or months, it affects your immune system, thus making you weak to fight ailments. According to an article published on http://www.huffingtonpost.ca, debt stress or financial distress affects your physical health such as back pain and high blood pressure levels. According to eminent researchers, there is also a correlation between depression and stress with debt and financial stress. Therefore, if you are plagued with debt, here are three tips to deal with debt stress and stay healthy:
- Plan to pay off your creditors
When you know how much you owe to your creditors and to how many of them, you can plan to clear your debts on time. When you plan to dig out of your debt, it will alleviate your emotional stress and mental anxiety. It will also inspire you to stay out of debt and become financially sound.
When you create a plan to repay your loan, you will feel relieved. First things first, prioritize your payments. Now, priorities matter from one person to the other. Therefore, decide which loan you want to pay off first. Accordingly, you can create a budget. When you have a budget in place, you can live as per your expenses. This way, you set a deadline, say a year or two within which you can repay your first loan completely. You can find budget calculators to make the budgeting process easy and convenient. If you find that your expenses are more than your income, you should adjust your budget. You can take the assistance of a credit counselor.
When you know how much funds you have to repay, start repaying your loan strategically. A few people believe that the best way to deal with debt is by making the minimum payments monthly with the loan that has the lowest rate of interest. You can pay more for a loan that has a highinterest rate. Once one debt is paid off, you can use your savings to pay off the next loan with a high rate of interest. You can take a loan from lending organizations that have positive debt consolidation reviews from the customers. Merge all your loans into one single payment. It will help you pay off your loan quickly.
- Watch your spending habits and take action
There are many ways to deal with debt-related stress, one of which is monitoring your spending habits. Many people have overspending habits and do more shopping using their credit cards. They think that do not have to pay in cash now and can repay the amount later. This way, the debt builds up over the months and a borrower gets an inflated bill that he has no means to pay off. Shopping will give you temporary happiness. Therefore, you should keep a tab on your spending habits to avoid further financial complications. It will lead to additional stress and take a toll on your physical and emotional health.
If you tend to use your credit cards, avoid using them. If you want to shop, control your urge and stop going to the shopping mall. Eat out less and enjoy home-cooked food. Avoid going to amusement parks and theaters until you pay off your creditors. If you have an apartment community gym, join that instead of paying a high membership gym fee in a club. If you feel like shopping online, talk to a friend and discuss your financial problems. Watch a TV show or movie instead on YouTube to divert your mind. Make an effort to save at least $1,000 every month so that you can use the money to pay off your debts easily without drowning in debt further.
- Face your financial issues straight out
When you are in debt, acknowledge that you need to repay the amount borrowed as soon as possible to stay happy and healthy. It is easy to feel depressed and stay away from your problems. If you keep ignoring your financial stress, it will take a toll on your health and lead to a nervous breakdown. Stay honest and figure out how much money you have borrowed and to which lenders. The honesty not only matters to you but also to your partner, spouse, and members of the family. If you are candid about your current financial woes, your family will not spend on shopping, buying movie tickets, and eating at expensive restaurants.
Take some time out of your busy schedule, look at your paperwork, and start creating a list of the loans you have currently. It will give you an idea of your total debts and how many creditors you need to repay immediately. Once you start making the payments, your loan amount will decrease and it will help you become debt-free quickly. It is the most important step to dig out of your debt and become stress-free.
Conclusion
Now that you are aware of the ways to become debt-free, your financial worries will reduce. Consequently, you will become financially stable and lead a healthy life without debt stress.