Surviving the Emotional Effects of Debt Settlement
Going through the process of settling your debts can, without a doubt,
stir up many negative emotions. A debtor's sense of self, identity and worth are often closely tied to their
financial circumstances. Thus, loss of money can be experienced as a loss of identity, self-esteem, and confidence
in one's ability. We live in a world in which image is important and people are viewed by their possessions. Money
can be viewed as power not only in an economic sense but also in relationships, thus a real or perceived loss of
power can ensue when settling your debts.
Understanding these emotions and their effect can help you separate the practical realities
of money from destructive and limiting emotional response from dealing with debt settlement.
In order to come to terms and deal positively with your situation, you can work toward the
- Deal with practical realities. As your debts get paid off and under control, a greater
sense of control will follow. Your accomplishments will give you a strong base of understanding that will help
you not to get in the same situation again.
- Learn to detach your self worth from your possessions. Easy credit
has blurred our ability to decide between what we really need and what we want. Understand that your wants are
usually what gets you in trouble. Focus on needs first.
- Become educated to the use of credit and how to protect your
financial well-being so during uncertain economic times you are prepared deal with it and not just become a
- Let go of resentment and blame, exercise self-compassion. Although
you may experience the feelings of loss, depression, anger, sadness, and shame in time, you will let those
feelings go and move on.
Although you may feel financially you’re ruined you must understand that your credit score is
only a snapshot in time, all your negatives diminish in value over the course of time. This really can be a fresh
start in many respects. Contact us for a free consulation concerning your debt situation.