Stress Awareness Month has been held every April since 1992, to raise awareness of the causes and cures for our modern-day stress epidemic.
It is the time when we have an opportunity for an open conversation on the impact of stress, and dedicated time to removing the guilt, shame, and stigma around mental health.
More so than ever, given the cost-of-living crisis, money is source of stress for many of us.
Craig Bundell, Help me Borrow director at Tesco Bank, said: “Money can be an overwhelming topic and a very easy cause of stress, with debt in particular being an often difficult subject to tackle.
“Our research found nearly one in four people (23 per cent) feel a sense of shame or embarrassment if they are in debt, and 18 per cent wouldn’t tell anyone about it.
“But talking with loved ones or family members, and putting a plan in place, can be the best way to take some of the weight off your shoulders.”
Here are some tips on helping you manage conversations about debt this Stress Awareness Month.
How can I better manage my money?
Honesty is the best policy
It sometimes feels easier to try to deal with difficult financial topics or your personal finances on your own. But being honest with yourself, your partner or loved ones is often the best approach. As well as debt, be open about your wider financial goals as well.
Put a realistic plan in place
A quarter of people have borrowed money in the past six months, which is a good reminder that you aren’t alone. Now it’s all about putting a realistic and actionable plan in place. Start with your income and map that against your outgoings.
Set up a budgeting app
To fully track where your money is going, set up a budgeting app and put aside some time each week to check your transactions online. This will help give you a full picture of your weekly or monthly spending, and can help you identify areas where you might be able to make changes.
Use the power of money goals
While reaching a savings goal might feel impossible, it’s important to take a step back and assess exactly what it is you hope to achieve and how much is needed. Having a clear figure in mind can motivate you and help you to reach your goal faster.
Speak to the experts and consider your options
Nearly one in three (30 per cent) of people don’t know where to go for debt and other financial advice.
You could try getting in touch with Citizens’ Advice or Step Change, who both offer free, impartial advice on how to deal with debt. They will treat everything you say in confidence and can help suggest ways of dealing with debts that you may not know about.
Understand which payments need tackling first
Whether you have one outstanding debt or multiple, it’s important to understand how much you owe and when you owe it by. Some bills or payments could have higher consequences if not paid on time, so it’s vital you prioritise them accordingly.
If you have multiple payments due, it could be worth considering a debt consolidation loan, which will combine your debt into one payment, making it easier to manage. It can also help reduce the total amount of interest you pay on servicing existing debt and, depending on personal circumstances, could be a good way to reduce the size of your monthly repayments.
The total amount of interest repayable over the life of the borrowing should always be considered alongside this. It’s important to seek financial advice if you’re unsure whether this financial product is right for you.
