A survey from Debt.com, the site where consumers can find help resolving their debt, shows that over the past three years, a growing number of Americans feel stressed after using their credit cards, which is putting them further into debt. and affected their mental health.
The results show that where there is more debt, there is more stress. “It’s the dictionary definition of a vicious cycle,” says Debt.com president and CPA Howard Dvorkin. “You get behind on your bills, so you distract yourself with dinner or some retail therapy. Of course, that adds to your debt, which adds to your stress, which drains your mental health. And our research shows that it is getting worse every year.”
According to the study, in 2022, 1 in 5 respondents reported feeling stressed after using their credit cards. The 2024 survey reveals that there has been a 17% increase over the past three years, raising that number to 4 in 10. Generation Z (47%) is most likely to feel stressed after using credit cards.
Nearly half (47%) say they take on more debt when they feel stressed. Debt.com research shows a breakdown of those who take on more debt when they feel stressed:
· 67% of Gen X take on more debt when stressed
· 40% of millennials take on more debt when they are stressed
· 37% of Gen Z take on more debt when stressed
More than half (51%) feel stressed when reviewing their credit card bills, while:
· 10% feel hopeless
· 8% feel sad
· 4% experience sleep loss
· 3% experience a loss of appetite
· 3% experience lower self-esteem
Research also shows that 26% say they argue with their partner about credit card spending:
· 45% are children of Generation
· 16% are millennials
· 16% are children of Generation Z
· 7% are children of Baby Boomers
“Generational and regional data remind us of something important,” says Dvorkin. “Debt is not evenly distributed in this country, but stress is. So, it doesn’t matter if you’re a 25-year-old struggling with student loans or a 50-year-old who’s behind on his credit cards. Those people may have nothing else in common except how bad they feel about their finances.”
For more details about the survey and its methodology, go here.
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