When it comes to our health, money is one of the biggest stressors. But what you may not realize is that financial stress can take a serious toll on your health. In fact, research has shown a clear link between money problems and poor physical and mental health.
According to the Money and Mental Health Policy Institute, 46% of people who have debt problems also have mental health problems while 86% of people who experienced mental health problems said those were made worse by their financial situation. This is because when you’re under financial stress, your body goes into “fight or flight” mode, releasing stress hormones such as cortisol.
In this article, we discuss the link between financial stress and physical and mental health. We’ll also look at ways you can reduce your financial stress and improve your overall wellbeing. So read on to learn more!
H2: The Effect of Financial Stress and Bad Credit on Your Physical and Mental Health
For many people, money is a major source of stress. However, few people realize that financial stress can also take a toll on their physical health. Roughly 64% of Americans feel stressed about money. Worrying about bills, bad credit, and the high cost of living can take a toll on your mental and physical health.
Studies have shown that there is a strong link between financial stress and high levels of cortisol, the body’s main stress hormone. Cortisol can lead to a host of health problems, including high blood pressure, heart disease, and diabetes. But it’s not only your physical health that is harmed; the consequences of bad credit can also harm your mental health. Overall, poor credit can make it difficult to secure loans, rent an apartment, or buy a car. As a result, people with bad credit often experience higher levels of stress and anxiety.
H2: Ways to Reduce Financial Stress and Improve Your Health
If you’re experiencing financial stress, there are things you can do to address it and meet your financial goals:
- Seek counseling or therapy. Talking to a professional can help you understand and manage your stressors.
- Get organized. Make a budget and track your expenses so you have a better idea of where your money is going.
- Cut back on expenses wherever possible. Find ways to reduce your spending and put more money towards debt or savings goals.
- Create an extra source of income. There are some creative ways to generate extra sources of income. This could be anything from dog walking to becoming a freelance writer. Not only will this provide you with extra money, but it can also help you build up your credit history.
- Seek out financial education resources. There are many helpful resources available online or through local organizations that can teach you how to better manage your finances.
H2: The Benefits of Good Credit for Your Physical and Mental Health
Good credit is important for more than just getting loans and good interest rates. It’s a reflection of your financial wellbeing and can have a major impact on your physical and mental health. When keeping your financial house in order you’ll reap many benefits including:
- Improved physical health due to less stress and anxiety from financial concerns
- Safer, more secure future due to increased financial stability
- Quicker access to affordable credit and loans when needed
- Ability to get better interest rates and terms on mortgages, car loans, and other types of credit
- Improved mental health due to peace of mind and a feeling of control over one’s finances.
H2: Final Thoughts
It can be difficult to face up to financial problems. But by understanding the stress associated with the side effects of bad credit and money problems and the effect it can have on your physical and mental health, you can take steps to reduce it and improve your health. Remember, having good credit is just as important for your mental and physical health as it is for your wallet.
Check out our infographic, The Weight of Financial Stress, for more tips on how to reduce financial stress and improve your financial wellbeing today.