Debt Awareness Week: Seven in ten people don’t talk about debt with anyone

New research from Lowell as part of Debt Awareness Week has revealed that seven in ten people don’t discuss their debt with anyone.

Further analysis in the report shows that seven in ten (69%) of people don’t discuss their debt, with over half (53%) too embarrassed to talk about it

The research found that talking about debt still holds a stigma for many people. Embarrassment was the primary reason people would not talk about debt (53%), followed by ‘feeling like a burden’ (40%).

This means that consumers are now hiding £8.5 billion worth of debt from their friends and family, with around 21 million hidden credit cards, loans, and overdrafts.  

The survey also asked people who had spoken about their debt how they felt after opening up.  82% of people felt better after speaking about debt, showing the importance of being open and honest with the people you care about, or experts who can help you with solutions to best manage your situation.

John Pears, Managing Director of Lowell, said “Over the last 12 months, many people have found themselves struggling financially, and some may be in debt for the first time. Therefore, Debt Awareness Week is even more important than ever this year.”

“We want to highlight the importance of talking about debt. Our research shows some shocking stats – the fact that 69% of people are not talking about their situation shows there is still a real stigma attached to debt, yet speaking to someone could really help individuals who are struggling There’s no need to feel embarrassed, and having an initial discussion with a friend, family member or expert is the first step to feeling financially stable.”

Richard Lane, Director of External Affairs, from StepChange, said “Debt can be tough to bring up, especially with those closest to you. Thousands are dealing with their debt alone, and have no one to talk to about it, which can make it an even bigger burden to carry.”

“The last year has been particularly tough on people’s finances, so it’s never been more important to open up and talk about debt. This Debt Awareness Week, we want to do as much as we can to destigmatise debt, get people talking about the issue, particularly those who may be in need of debt advice for the first time. We want to encourage people to take the #TheFirstStep towards getting debt advice.”

Why don’t people talk about debt?

When discussing hidden debt with people currently in debt, Lowell discovered the key reasons people keep silent about their financial situation are:

Reason	Percentage of respondents who feel this way
I would be embarrassed	53%
I don’t want to burden anyone else	40%
I don’t believe family/friends need to know about my debt	38%
I don’t want people to think badly of me	33%
I don’t think it would help	25%
I don’t have anyone to talk to	10%
It always leads to an argument	9%
I believe bringing up money is rude	4%