James Donaldson on Mental Health – Here’s why we need to talk about the suicide-debt link

Miriam Bell

Tougher economic times, and worries over financial difficulties and debt, adds to the pressure on people’s mental health. There is a link between financial debt, mental health difficulties, and suicide, but most people do not want to talk about it, a visiting UK debt expert says.

Increasing numbers of people in many countries are experiencing mental illness. In New Zealand, almost one in two people (47%) will experience mental illness or distress in their lifetime, according to the Mental Health Foundation.

Tougher economic times do not help as financial concerns, and worries over debt, adds to the pressure on people’s mental health.

With New Zealand officially in recession, regular reports of job cuts, and the ongoing impact of higher interest rates, debt is only likely to grow.

UK debt industry leader Steve Coppard, who is currently in New Zealand, says that is a concern as the connection between debt and mental health conditions is well established.

One in four adults will have a mental health problem at some point in their life, research from the Royal College of Psychiatrists in the UK shows, he says.

It also shows one in two, or 50% of, adults with debts have a mental health condition, and one in four people with a mental health problem is in debt.

Money & Mental Health Policy Institute research found that while there is rarely one single factor that drives people to take their own life, long-term financial difficulties can drive feelings associated with suicidality by undermining resilience, he says.

UK debt expert Steve Coppard says people do not like to talk about debt, and that needs to change.

The institute’s research suggests that over 420,000 people in problem debt consider taking their own life in England each year, and more than 100,000 people in debt actually attempt suicide.

“The likelihood of a mental health condition clearing up is less likely if someone is in debt, and yet a Yougov poll on Taboo Topics found that only 22% of people are happy to talk about their debt,” he says.

“There is shame that goes with debt. People think it is all their fault, and that they are all alone, and they often dig themselves in deeper before they start trying to get out of it.”

Coppard, who is group director debt policy and strategy at Arum, says that has to change, and the debt collection industry has a role to play in that.

He has a profound understanding of debt, and what it means.

Not only has he worked in the debt collection industry for nearly 25 years, but he has personal experience of it, due to the fallout from a bad relationship break up many years ago.

He is also the founder of In Debt For Life, which provides debt advice and guidance to the industry, and education to the public, and is visiting New Zealand to work with debt-recovery business DebtManagers.

In the UK, there has been a concentrated 10 year campaign around mental health issues, and that has had an impact, with the Yougov poll showing 40% of people will talk about their mental health, Coppard says.

“That’s led to more recognition of the link between mental health and debt. Doctors now ask about financial health, and refer people for financial advice, because they see people present with poor mental health because of debt.”

For his industry, it has instigated a step change in how debt collection is managed, and the way debt recovery companies work with their customers, he says.

Twenty years ago, collection was king in debt outcomes, but the industry has evolved, Steve Coppard says. “When I first started in the VAT debt department of Customs & Excise, I was good at it because I was good at being argumentative, which is what was expected of you 20 years ago when collection was king in debt outcomes.

“But over the years, I realized that outcomes should be about debt solutions, rather than debt collection, and that it is all about getting people out of debt, instead of debt out of people.”

That means adopting a balanced approach to debt management which involves fair outcomes for those who owe it and for those who own it, he says.

“People do deserve to get paid, and you also can’t disincentivize the people who aren’t in debt, and pay their bills, by wiping debt. But it is not a numbers game, it is a people game.

“At the same time, it is not just poor debt collection practices, like robo-collection, that can have a negative impact on people’s mental health.

“The fear and anxiety associated with having debt hanging over you, and it accumulating over time, can get worse if nothing is done to mitigate the debt.”

Coppard advocates that debt management should be based around three pillars. They are that repayment plans should be affordable, free debt advice should be signposted, and that any barriers which should be addressed before talking about debt need to be identified in a timely manner.

“Processes need to support this. At Just, our agents use a doorstop vulnerability toolkit to assess whether it is suitable to continue a visit, and we have an informal service to give people breathing space on debt.

“Agents are not qualified to address barriers beyond debt, but we have mature, empathetic agents who have the tools to point people towards services which can help, such as free mental health support, for example.”

While the debt industry is different to the one he joined two decades ago, and has evolved into a more customer-service focused industry, it still needs better processes in place to ensure no harm is caused, he says.

#James Donaldson notes:
Welcome to the “next chapter” of my life… being a voice and an advocate for #mentalhealthawarenessandsuicideprevention, especially pertaining to our younger generation of students and student-athletes.
Getting men to speak up and reach out for help and assistance is one of my passions. Us men need to not suffer in silence or drown our sorrows in alcohol, hang out at bars and strip joints, or get involved with drug use.
Having gone through a recent bout of #depression and #suicidalthoughts myself, I realize now, that I can make a huge difference in the lives of so many by sharing my story, and by sharing various resources I come across as I work in this space.  #http://bit.ly/JamesMentalHealthArticle
Find out more about the work I do on my 501c3 non-profit foundation
website www.yourgiftoflife.org Order your copy of James Donaldson’s latest book,
#CelebratingYourGiftofLife: From The Verge of Suicide to a Life of Purpose and Joy

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The debt industry in New Zealand can learn from overseas best practice, Debt Managers’ Mark Francis says. “In the UK, the industry has campaigned around this, and while the narrative is not yet where it needs to be, it is moving in the right direction.

“We also need more public education around debt, and we need to talk to customers in the medium that best suits them.

“But until we have more people like me emphasizing that it is OK to talk about debt, because it is easy for life to get on top of you and for financial issues to snowball, the stigma around it will remain.”

Debt Managers general manager Mark Francis says if the Money & Mental Health Policy Institute research is applied to New Zealand, and all else is equal, it suggests around 10,000 people annually will think about attempting suicide due to debt.

That is why there needs to be a more concerted focus on best practice in the debt industry here, and why he is looking overseas to learn more, he says.

“While the UK is ahead of New Zealand in this space in many ways, New Zealand is on the cusp of change, and we are on a course to make debt management more fair and ethical.”

He says while there is currently no New Zealand data similar to the UK data, he understands there is research in the works.