Being in debt is not really the best place to be; rather it’s the last place one would want to be in. Nobody likes a liability on their head, and neither does anyone like opening up their financials and credentials and putting them under the scrutiny of lenders. Which is why, sometimes, if not all the times, debt can be a delicate topic. It is important to mention that one of the main and top reasons to get divorced and problems between couples are financial issues.
Lying about debt
The practical implication of acquiring debt is having to repay it along with the interest accrued. That’s that.
But the psychological implication is not as simple. Having debt on one’s head can lead some people into feeling weak, ashamed, and inadequate – feelings that directly translate to negativity.
That is quite often the reason why people keep their debts private, and when asked, bluntly lie about it.
Financial Cheating: Lying to loved ones about debt
9 out of 10 times, it is our loved ones whom we lie to about acquiring debt. The reasons can be many:
- We don’t want to spread negative vibes
- We fear that our partner and family members may be angry, and thus will not approve
- We want to keep hanging on to the ‘all is well’ feeling even when it is not
These reasons are legit, no doubt about that. But still, as your financial advisors, we strongly recommend you not to hide your debt. In fact, turn to family, friends, and near and dear ones to seek support and advice. Who knows this way you might come stumble upon a better solution to your money issues!
Alternatively, imagine the detrimental consequences that your relationships might face when your lies about debt see the light of the day.
How to deal in such situations?
- Be open and transparent about your financial situation.
- Do not hide anything from your significant other even if you think it is minor.
- Be ready to solve it and get out of debt.
- Calculate the expenses and incomes together and see how you can minimize your expenses to pay off debt.
- Make sure you stay away from anything that put you in debt.
- Start thinking how to invest your money after paying off your debt.