Families Falling Out Over Loan Debts
It is well known that high levels of debt on things like personal loans and credit cards can cause severe stress and worry for individuals, but a new report has found that loan debt is also having an effect on family life, following the recession and the probability of hard times ahead.
The new survey, which was conducted by Clydesdale and Yorkshire banks, found that the level of loan and credit card debt within families is causing tension and having a negative impact, with family members falling out over their personal loan debts.
The survey found that somewhere in the region of 2 million families in the UK are feeling the stress of loan and card debt on a regular basis and around one million families have admitted that they are having more arguments due their debt problems with their personal loans and credit cards.
To exacerbate the problem, many young people are also now remaining in the family home for a much longer period of time, due to the fact that they are unable to move out and either get a home owner loan or even rent, due to financial pressure and lack of affordability.
In other cases, children who have previously moved out are returning to the family home due to growing debts and not being able to manage their loans and finances.
Psychology professor Kevin Durkin said “Economic stress has substantial effects on families. It impacts on the parents, causing irritability, marital discord and depression. This in turn, affects the quality of care they are able to provide their children: stressed parents are more short tempered and less warm. Furthermore, the children may observe rows, or parental anxieties about money.”
“Children and adolescents in financially stressed homes are at a greater risk of psychological ill health. Recessions may only last a few years in boom-bust economies like Britain’s, but the impact on vulnerable families can be much more enduring.”
