Unveiling the Mental Health Impact of Debt: A Groundbreaking Spergel Study
Explore the link between debt and mental health and discover how to empower change.
See What’s Inside
- The profound impact of debt on mental health and wellbeing
- Common coping mechanisms for financial stress
- Debt trends across various demographics
- Primary reasons behind debt accumulation
- Transformative effects of debt relief on mental health
- Available mental health and financial support services
Key Study Findings
Our findings reveal a startling reality: the burden of debt extends far beyond finances, impacting sleep, eating habits, social connections, and overall mental health.
50% of respondents reported difficulty sleeping
44% experienced changes in eating habits, like overeating or undereating
30% withdrew from social interactions, isolating themselves from loved ones
97% were unaware of available mental health resources tailored to their financial stress
How Debt-Relief Transforms Lives
“I never imagined I’d be debt free. The weight of it was crushing, affecting every aspect of my life. Spergel’s understanding and support made the process less scary. Now, I can finally breathe again and think about my future. I am immensely grateful.”
– David Ashley
“I felt a lot of shame doing a debt proposal however, it was this or bankruptcy. The consultants at Spergel helped me to feel proud that I was taking control and tackling my situation… The stress I felt daily is gone and it’s been life changing.”
– Christine Harrison
“Debt has affected my mental and physical health. I developed heart problems verified by a heart specialist and was prescribed anti-anxiety meds and told to avoid stress. Later on, I developed some other health issues where stress was at least a partial contributor.”
– Sasha
“Spergel took 90% of the stress away. My wife and I can finally breathe and the many financial fights between us have ceased. Spergel have been very supportive throughout the entire process and for that, I thank them!”
– Ross Cherwinsk
Did You Know? The Truth About Debt and Mental Health
People in problem debt are 3x more likely to have thought about suicide in the past year.
This staggering statistic highlights the urgent need for support and awareness around mental health and financial struggles.
Financial difficulty drastically reduces recovery rates for common mental health conditions.
People with depression and problem debt are 4.2 times more likely to still have depression 18 months later, compared to people without financial difficulty.
Financial difficulties are a common cause of stress, and stigma around debt can mean that people struggle to ask for help and can become isolated.
The impact on people’s mental health can be severe, especially if creditors are aggressive or insensitive when collecting debts.
Source: Money and Mental Health Policy Institue (UK): The Facts 2024 study
National Statistics
389
Canadians filed for insolvency each and every day of Q2 2024 (April 1 to June 30, 2024)1
185%
Canada has the highest household debt to income ratio in the G7, compared with the average of 125% for all G7 countries.2
35,082
Canadians filed for insolvency in Q2 2024, surpassing 35K for the first time since Q4 2019 – pre-pandemic.1
1Source: Canadian Association of Insolvency and Restructuring Professionals (CAIRP). Q2 2024 Canadian insolvency statistics.
2Source: Statistics Canada 2024.
Hear From a Spergel Trustee
Money can affect every aspect of our lives. This includes mental health. So what happens if you have a high debt load? Spergel partner Robert Kilner joined The Moolala Podcast, hosted by Bruce Sellery, to describe the impact debt can have on mental health and what we can do about it.
Your Trusted Partner in Debt Relief
For over 35 years, Spergel has been a leading provider of compassionate and personalized debt solutions. Our team of Licensed Insolvency Trustees is dedicated to helping individuals and families achieve financial freedom and peace of mind.
We’ve helped over 100,000 Canadians overcome their debt challenges, and we’re committed to empowering you on your journey to a brighter future.
Download the Full Report
Mental Health Support Resources
If you or someone you know is struggling with mental health, support is available.
CAMH – Centre for Addiction and Mental Health
Help phone 1-800-463-2338
Suicide Crisis Helpline
Call or Text 988
Multilingual Distress Line
Call 905-459-7777