People in the UK fool themselves into thinking that they are immune to debt. The truth is that nobody has immunity when it comes to this kind of liability. Temptation is so great that individuals can’t resist and make purchases that they can’t normally afford. They end up borrowing money since they don’t make enough money.
When you’re in your younger years, you think that the negative side effects of debt won’t hurt you. However, you’re no different from anybody else, meaning that you’re not almighty. If you’ve taken out loans and you haven’t paid them back, you’ll suffer terrible consequences. At one point or the other, the debts will come back to haunt you. That is for sure.
Let’s say that you’ve taken a student loan or more and you haven’t paid those bills on time. Somehow, it will resurface. To pay the money back, you have to start saving or get a second job. The point is that the credits will remain with you for the rest of your life. The financial burden will affect your life, leading to stress that will affect your health long-term. Keep on reading to find out how debts can hurt you.
Heading towards a financial disaster
Do you find yourself in the middle of a financial disaster? If the answer is yes, then don’t be surprised. When you have so much debt, you’re pretty much setting yourself up for disaster. You’re living from pay check to pay check. Put simply, you need money in order to survive. But that isn’t something out of the ordinary. All people need cash to make ends meet. The difference between you and those people is the fact that you have extra bills to pay. You can barely pay off your debts and handle your needs.
What do you do if an emergency occurs? Maybe the pipes burst due to an immense water pressure. You don’t have money to pay off the emergency. The only money that you’ve got is for essentials like food. The only thing you can do is borrow money from your friends or family, but that translates into additional debt.
You don’t realise that you’re in an ugly situation until it’s too late. Or maybe you understand that things aren’t looking great, but you don’t feel like dealing with it. Pretending something isn’t happening doesn’t make it go away. You have no savings account. If you don’t start saving now, you won’t have funds for future emergencies.
Parents taking on your debts
In some families, finances is a taboo subject. In other words, it’s rarely discussed. It’s normal to wonder why parents refuse to talk to their children about money. One explanation could be that parents don’t know more about finances than their offspring. The fact of the matter is that most people are financial illiterate. Practically, they don’t possess the skill or knowledge necessary to make sound decisions. Individuals are so happy to see their kids getting into good schools that they don’t even stop for a moment to think about the debt acquired or the fact that they are the ones inheriting it.
Young adults aren’t able to live on their own and they turn to their folks for help. Parents can’t bear to see their children in an impossible situation, so they do everything within their means to help them give all their due wages. If you have your own student loans, you shouldn’t burden your parents. You should find a solution and get out of debt on your own. It’s totally possible. You just have to try.
Bringing big problems to the marriage
Small loans can immediately transform into a larger debts. What people like you fail to understand is that financial liability puts a great deal of pressure on a relationship. While you’re struggling to pay off your debts, your partner wants to continue spending money. Your significant other won’t get their way and they will eventually resent you. The two of you have joint bank accounts, it will be a problem. You don’t want to ruin the most important relationship in your life, so you need to do something.
One of the best things you can do is take on an IVA. IVA is an acronym and it stands for individual voluntary arrangement. It’s basically an agreement between you and the creditors to pay back the credit over a period of time. An IVA debt provides you control over your personal belongings. If you make regular payments to the insolvency practitioner, which are quite affordable, you’ll be fine. Get rid of the debt and save your marriage.
Stress and depression
Debt isn’t all about money, contrary to popular belief. When you owe a lot of money, you’re so angry that you could snap somebody’s head off. Everything gets on your nerves. You worry all the time over debt, withdrawing yourself from friends, family, and even loved ones. Let’s not talk about depression. Money and finances make you feel hopeless. You feel as if there is nothing that you can do about it and you’re defeated. You start asking yourself what is the point of everything. You don’t see the light at the end of the tunnel.
As mentioned earlier, there is something you can do about it. So, what are you waiting for? Divine help? Nobody is going to get you out of the unpleasant situation that you’ve created. It’s up to you to solve the problem. Instead of isolating yourself from friends, family, and loves ones, ask for their help. No matter how bad things may be, they will help you pull through.
It’s a mistake to think that it’s possible to go through life alone. You can’t. understand that you’re not alone and reach out to people.