‘Struggling in silence’: Aussies’ shame driving up debt
“I feel like I am a vampire drawing blood and money from the machines. But then I realized that the machines are vampires drawing blood from me.”
These are the words Carol, a 58-year-old single mother from Queensland, wrote in her diary after reaching the lowest point of her 18-year slot addiction.
Carol, a Royal Australian Air Force veteran, began gambling following the premature death of her husband Lance in 2005.
Carol, who was drowning in debt, said the hardest thing was overcoming shame and embarrassment to open up about money troubles.
“There were so many lies told that I was so embarrassed,” he told AAP.
“It took opening up and some tough love to finally get things done.”
This is an issue many Australians struggle with; research shows that almost a quarter (23%) never talk to family or friends about their finances.
Almost a third (32 percent) feel uncomfortable talking about money with loved ones.
Findings from a nationwide Salvation Army survey of 2,005 people show that people remain silent even in the face of crippling debt.
Kristen Hartnett, chief executive of Moneycare, the Salvation Army’s financial advice service, told AAP that many people leave these discussions too late.
He recalled a client who had no idea his family was in debt until he lost his home.
“I think money is very personal in Australia,” Ms Hartnett said.
“We value our independence and privacy, and this means we often struggle in silence when financial difficulties come.”
Nearly 10 million Australians are entering the new year with debt, according to the survey, with nine in 10 reporting feeling less or more stressed about finances than last year.
While credit card debt remains the most common type of debt, financial experts are sounding the alarm about new methods of borrowing, including the use of buy now pay later (BNPL) services.
BNPL services allow consumers to finance their purchases with interest-free rebates, often for everyday expenses such as groceries and entertainment.
While it has quickly become a favorite among Australians, especially young people, Ms Hartnett says it carries unique risks.
“People may have one to three credit cards, but they may also have ten to twenty buy now, pay later products,” Ms. Hartnett said.
“These are smaller debts, but with more noise from more creditors, the stress can increase.”
Coral agreed, saying part of the recovery process includes deleting BNPL services and limiting herself to a single credit card for essential expenses.
“I’m so proud of myself now,” he said.
“I have that tough love that is what I need to take control of my life.”
National Gambling Helpline 1800 858 858
Australia’s Associated Press is the beating heart of Australian news. AAP is Australia’s only independent national news channel and has been providing accurate, reliable and fast-paced news content to the media industry, government and corporate sector for 85 years. We inform Australia.
