Mental health issues and financial problems can often go hand-in-hand, but with many people leading busy day-to-day lives it’s not always easy to take a step back and consider how the two could be interacting.
With Mental Health Awareness Week (May 13 to 19) running this month, it’s also important to bear in mind the help and support available.
According to the Money and Mental Health Policy Institute, a charity founded by consumer champion Martin Lewis, people with problem debt are more likely to experience mental health problems.
The charity also says people with mental health problems are more likely to be in problem debt – showing just how intricately the two issues can become entwined.
To help raise awareness of how mental health affects people’s finances, here are five key things to look out for:
1. Impulsive spending
Helen Undy, chief executive of Money and Mental Health, says: “When you’re struggling with your mental health, it can be really difficult to stay in control of your spending.”
She adds: “Most high-street banks have tools in place that can help you limit your spending.
“Options like setting your own limit for contactless payments, or blocking payments to certain retailers and gambling websites can be really helpful for people who struggle with impulse control.”
2. Admin anxiety
“We all know that feeling of dread when you need to pick up the phone to your bank to sort out a problem,” says Undy.
“But while for most people that feels like a minor stress or inconvenience, when you’re struggling with your mental health it can feel like an utterly overwhelming and impossible task. People tell us how even opening a letter from their bank or speaking on the phone can send them into a spiral, and make them want to bury their head in the sand.”
The charity has been working with banks to help ensure a range of accessible communication channels are available. Some people may prefer to communicate via webchat, for example, rather than by phone.
3. Difficulty managing bills
“Lots of common symptoms of mental health problems can make it difficult to manage and keep up with your bills,” explains Undy.
“Symptoms like brain-fog and poor memory, for example, may make it harder to remember to pay your rent or energy bills on time, keep track of what you’ve spent, and plan ahead.
“It’s always worth exploring the tools available through your online banking app to help you better keep track of your bills, like setting up more frequent alerts, nudges and reminders when bills are due.”
For people experiencing more acute mental illness, Undy says the bank may also offer a “third-party access” option. This could allow a trusted person access to your account and to help you with tasks for managing your day-to-day finances.
4. Problems with the small print
Reading – and understanding – terms and conditions can be crucial when making financial decisions.
But checking information can be “incredibly tough” when someone is struggling with symptoms such as low motivation or poor concentration, says Undy.
She says: “There’s a responsibility on firms to make this easier for people – but asking a trusted friend or family member to read any documents with you to make sure you’re clear on the terms and conditions could be helpful in stopping you making a decision that you might regret later down the line.”
5. Concerns about reaching out for help
“Struggling with your mental health and your finances is a double stigma,” says Undy.
“It can be so hard to talk about these issues even with people you really trust.”
Charities such as Citizens Advice and Mind can offer support, as well as your GP.
Undy continues: “If you’re struggling with your finances and mental health, letting your bank, energy company or water company know about your mental health problem can also be helpful, as there’s lots of practical measures they can take to make things easier for you, for example referring you to a specialist team who are trained in supporting customers with mental health problems.”
She adds: “With the right help and support, there’s no debt or money problem that can’t be solved.”
