According to one survey, the majority of the couples who responded said that they carried debt into the relationship. 4 out of 10 said that it had a negative effect on their relationship. It does not matter if you are earning a 6-figure income. The presence of debt, especially one that is starting to go beyond your control can put a strain in your relationship. The more you owe, the more effect it can have on your household finances. If you do not do something about it, that can blow up in your faces and cause enough damage in your marriage.
The reality is, we cannot avoid using credit. Our consumerist society makes sure of that. The most obvious reason is to have a high credit score. You cannot achieve that if you do not use credit. This is why you need to continue using credit. However, you need to learn how to be smart about using it.
For instance, you can use credit cards but make sure that you know how to pay it back. Debt only becomes a problem if you fail to pay your dues.
In case you find yourself drowning in debt, you need to act on it immediately. It will never do you good if you try to hide it from your spouse. It is better for you to come out with it and be ready with a solution that you can propose to use. One of the best options that you have is debt consolidation.
How consolidating debts can help manage financial issues
There are many reasons why consolidating debts can be helpful to your marriage. Since reports reveal that financial problems are the common reason for couples to file for divorce, you need to find a debt solution that will keep the stress away from your relationship. Debt consolidation seems like the perfect choice for the following reasons.
You are encouraged to work together
With any debt solution, you need to communicate with your spouse to ensure that will be dealt with as a team. While there are some people who take care of their individual debts, there is nothing like working together on something difficult to bring you closer. It does not matter if it was only one who was at fault. Sharing the burden will definitely be good for your relationship. Consolidating debts can involve a team effort – especially when both of you combine your credit scores to get a better average. That will help you get a lower interest rate on the credit account that you will use to consolidate your debts.
You do not have to worry about your credit history
Another way that consolidating debts can help your marriage is through its effect on your credit history. This is one of the debt relief options that will hardly have any effect on your credit report. You will still pay your dues – so it should not have any negative effect. You will just be given a more structured repayment plan that is suited to your financial situation.
One of the best things about this debt relief program is the fact that it will be harder to miss out on a payment. You only have one to monitor so forgetting the due date will be easier to avoid. And since you can base your payments on what you can afford, you are most likely going to meet every single one. With a better payment record, you can be sure that your credit score will steadily rise as you pay off your debts.
You get a less stressful repayment plan
Finally, consolidating debts can be very beneficial because it will make the debt payments less stressful. You only have one payment each month instead of multiple due dates. You can also arrange your repayment plan so it is more affordable. All of these will give you a customized payment plan and it will lessen the burden of your debt. You do not have to worry too much – thus improving your disposition. This will give you a more positive outlook that can affect the way you interact with the people around you. Obviously, the one that will benefit from this the most will be your spouse.
Once you have successfully dealt with your debts, you will feel a huge improvement in your life.
Why is debt destructive in relationships
Most people do not understand the real effect of debt in their life. It may help you buy something that you generally would not able to pay in cash – but the repercussions of that to your financial future can be catastrophic. While it may be deemed necessary to use it to maintain a positive credit history, you need to learn how to control it. If you want to have a great future, this is something that you should work on. Otherwise, you will find yourself struggling to make ends meet.
To motivate you to do something about your debts, here are some of the reasons why debt is considered to be destructive in relationships.
It can create insecurities
Some people still feel embarrassed when they have a lot of debts. If you were irresponsible with your use of debt, then that feeling may be justified. Too much debt can be avoided. Even if you were responsible for your financial decisions, the lack of emergency fund can also lead you to acquire a lot of debts. It may be true that it is not as bad as being in debt because of impulsive buying habits. But you have to admit that you are in debt because of a lack of foresight on your part. This is why most people still feel a bit insecure whenever they have debts.
It can shatter trust
Financial infidelity is real and it is also just as painful as being involved in an adulterous relationship. Lying about money can still shatter the trust that you have with each other. If you have individual debts, you need to come clean. Tell your spouse about it – or better yet, tell them before you get married. That way, you can solve the financial issue by getting debt consolidation before tying the knot.
Being transparent with how you handle your finances is also a must in every relationship. A lie can be devastating when discovered. Do not let it ruin your marriage.