Financial Distress/Financial Well-Being: Do Length of Time Spent in a Debt Management Program and Reduction in Financial Stressor Events Make a Difference?

Research

Credit Counseling Helps
* Financial Distress/Financial Well-Being: Do Length of Time Spent in a Debt Management Program and Reduction in Financial Stressor Events Make a Difference? 2007, Consumer Interest Annual, Prawitz, O’Neill, Sorhaindo, Kim, & Garman

In the United States today, 61% of workers report moderate to high financial stress (American Express, 2006), and 25% have experienced an increase in such stress over the past 18-24 months. Those with incomes under $40,000 were 84% more likely to report high or extremely high levels of financial stress than were those with incomes of $40,000-$74,999. In studies of consumers who have sought help from consumer credit counseling agencies, the reports of financial dissatisfaction and financial problems are even greater (Garman et. al, 1999; Kim, Garman, & Sorhaindo, 2003).

Financial distress/financial well-being is a measure of one’s perceptions of and emotional responses to one’s personal financial condition (Prawitz et al., 2006a). Those who report higher financial distress also tend to report poorer health (O’Neill, Sorhaindo, Xiao, & Garman, 2005). As financial distress decreases, reported levels of health improve as well. Read more (Word)...