Debt and depression - a holistic approach

The link between debt and depression is widely acknowledged, both by those within the debt management sector and also by those looking at the sector from the periphery. Of course it’s no surprise that the stress of debt can often cause mental health issues to arise, but what measures are those within the industry taking to help indebted individuals who are also suffering from issues like depression?

Debt Management Today spoke to Bev Budsworth at The Debt Advisor, whose company actively campaigns for better awareness about debt issues and who has put procedures in place to ensure her employees have the skills necessary to help their clients...

DMT: Finding yourself in debt can be an extremely stressful experience; do you think there’s a link between debt and depression as experienced by the clients who you help?

Bev: Debt is one of the three D’s – Debt, death and divorce – that rank very high up the scale for causing debilitating stress. It’s not hard to imagine how ill someone can feel if they have limited income which does not cover their outgoings, plus creditors are chasing for payment.

Quite often there is also more than one D – Divorce and Debt quite frequently go together. When you are subject to this level of stress it is extraordinarily difficult to think straight. And it is not just your ability to concentrate that is affected. Chances are you are not eating properly; resorting to alcohol to numb the ache which in turn means your sleep is disturbed. You wake up tired, lack an appetite, live off endless cups of tea/coffee and so the stress spiral gears up.

Recognising that you are caught up in a debilitating stress cycle and doing something about it is sometimes easier said than done. What we aim to do is help get the word out there that there is much that can be done to not only deal with the stress but deal with the source of stress. Dealing with debt is actually relatively simple. However, we need the client to partner up with us. By this I mean we need them to accept their position and positively resolve to change their lives so that we can over a period of time:-

 ·         Repay their debt

 ·         Get their finances back in control

·         Actively seek to improve maintenance of their health

And unsurprisingly these changes do lead to an improved life.

DMT: What made you interested in exploring this link?

Bev: I once was too late to help a client – a young man that we had talked to on the phone and were due to visit. We tried to confirm the appointment with him but got no response. Several days later we had a call from a relative who had found our information pack. The young man had taken his life. It still haunts me daily.

DMT: What steps have you taken in the company to make sure your employees are equipped to help those suffering from depression or severe stress?

Bev: I believe that people need to empower themselves and it’s important for the client to be with us on our journey. We have a resident psychotherapist and our team members have all undertaken soft skills training which incorporated Neuro-linguistic programming (NLP) skills. It’s interesting to learn and understand the process our bodies go through when we experience stress. The most helpful strategy I often use is E + R = O: E is the event – what has happened to get you to your current position, R is the response – what are you going to do to change your future, and O is the outcome. This training has enabled our team to seriously understand what our clients are going through and provide advice which not just focuses on the debt solutions but also focuses on the client and how they can empower themselves.

DMT: What kind of effect can debt have on a person’s stress levels?

Bev: Different creditors have different methods of recovering debts and, in our experience, some can be a little more aggressive than others. Creditors are getting more sophisticated with collection methods which include post, telephone, e-mails, social media, etc. so the pressure is constant.

Unfortunately in most cases, it doesn’t just stop here. The wider effects of debt stress include depression and anxiety but it can ultimately lead to poor work performance, relationship breakdown and other associated health problems.

DMT: Do you have any advice for people suffering from depression?

Bev: We have a range of advice available on our website which can aid debt stress; it gives helpful hints and tips on the small changes people can make to their lifestyle which can make a world of difference.

Very simple things like exercise and ensuring you get a decent night’s sleep can help clients feel revitalised and once the energy levels are back up, this is where they can start to work on their self esteem. Our psychologist will help with strategies to cope with the stress/anxiety, etc (e.g.  seven/11 breathing – breathe in for seven counts and out for 11, which is great when faced with heart pounding moments). If the problems are more severe and require specialist treatment, we signpost individuals to organisations such as MIND who are available on 0300 123 3393.

DMT: Do you think there is enough support out there for those who are becomingly increasingly stressed as a result of debt?

Bev: There is support out there such as MIND (as mentioned above) but the issue is that often people are unaware of what help is available.

Most individuals do not know they need help and more importantly don’t seek help. This is why our teams have soft skills training and why we offer our clients two free sessions with our resident psychotherapist. I do think that most debt solution providers could do with soft skills training so that they can recognise stress and associated side effects and at the very least get these people signposted to organisations that will help.