According to recent studies, the convenience of credit cards has Americans using them even when they know better, and this is impacting their mental health. In fact, over 45% claim to have missed a credit card payment because they couldn't bring themselves to look at the statement balance.
Almost 75% of survey respondents believe credit card convenience has a detrimental influence on mental health. One-third felt sad or guilty after just using their cards.
“The convenience of credit cards cuts both ways,” said Don Silvestri, president of Debt.com. “More than ever, you don’t even need the piece of plastic to run up huge bills. Time was, ‘shopping therapy’ required actually going to a store. Now you can do that from your phone in bed.”
Many participants reported turning to retail therapy—shopping impulsively, often online, to combat their stress and other negative emotions.
While the average debt was $1,000 or less, the figures beyond that amount were troubling:
Debt between $1,000 to $5,000—25%
Debt between $5,000 to $15,000—nearly 18%
Debt between $15,000 to $20,000—over 3%
Debt above $20,000—nearly 3%
The social influence of these stressors lead 5% of respondents to avoid dating due to their debt, 6% of respondents to hide credit card spending from their partners, and 10% to not go out with family or friends due to debt.
“When you incur debts while you’re feeling terrible, it never makes you feel better,” Silvestri said. “It not only affects your mental health, but it can spread to your loved ones.”
Credit card debt can also harm your physical health. More than 5% of respondents report they have lost sleep, appetite, or have low self-esteem as a result of their credit card bills.
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