Financial issues can be a stress in anyone's life, particularly those struggling with debt. According to a recent study, Michigan residents are particularly prone to debt-related stress. Thankfully, there are a number of steps that can be taken, including budgeting, cost-watching, and possibly even bankruptcy filing to relieve that stress and get themselves back on the fiscal right track.
According to an online study conducted by the FINRA Investor Education Foundation that polled nearly 30,000 Americans about their financial habits and current state of affairs, Michigan residents rank somewhere in the middle of the spectrum when it comes to debt issues. Roughly 60 percent of Michigan residents do not have the finances required for a suitable "emergency fund," and approximately 35 percent do not pay more than the minimum amount on their credit card bill. This puts Michigan on parity with many other states in terms of these statistics.
In addition, the fallout of the 2009 recession still affects many Michigan families, with 24 percent reporting a significant drop in income in the last year alone. The suggestion put forward by the Foundation is that financial literacy is lacking in many Michigan residents, which may contribute to their debt stress. They recommend self-education on budgeting and other debt-reduction techniques to help curb stressful feelings and bring balance to finances.
Financial stress due to debt can be a crippling affliction, but there is light at the end of the proverbial tunnel for Michigan residents. As the study suggested, financial literacy can go a long way toward easing stress and learning about new ways to deal with debt and save money. Additionally, the option to file for bankruptcy can help to clear particularly full slates and restructure finances to make everything more manageable.
Source: Detroit Free Press, "Stressed out by debt and too little savings?" Susan Tompor, May 28, 2013