Consumer alert: Studies reveal a strong link between financial strain and mental health struggles

ROCHESTER, NY – As Mental Health Awareness Month comes to a close, Wednesday’s Consumer Alert examines a real correlation that researchers now acknowledge. People suffering from financial strain often suffer mentally and emotionally as well.

When News10NBC investigative reporter Deanna Dewberry talks to people who are under tremendous financial strain, she often walks away from the interview worried about their mental and emotional well-being.

When he met Yalitza Galan last month, Galan was under financial stress. “I am powerless because there is only one. I am the only person who works,” said Galan. Her husband had been injured at work and while paying the bills had been difficult before, it was nearly impossible on one income.

“What can a family like me do? Because I work. I work six days a week. Without vacation. And I can’t do it. I can’t do it,” said Galan. She admitted that she was losing sleep, was constantly anxious and close to her breaking point. And she is not alone. In a recent Bankrate study, 47% of respondents said money issues affected their mental health.

“And that was actually more than any factor that we asked about. So more than people’s health. More so than their relationships with family and friends. More than current events. People put money as the number one stressor,” said Ted Rossman, Senior Industry Analyst at Bankrate. The study found that everyday expenses have the biggest psychological impact – grocery prices, filling up the gas tank and paying the rent.

“It’s to the point where paying rent is a luxury. You can’t think of giving your kids a summer vacation. You have to think 12 months how to pay this rent with my current situation”, said Galan.

Her situation is echoed by many of Rochester’s working poor, most of whom rent their homes. A National Institutes of Health study also found that those who were struggling financially suffered a greater degree of psychological stress, and renters are more stressed than homeowners. When Dewberry interviewed Galan, her landlord had given her 90 days to find another home.

“Seeing my children asking me are we going to have a house? This is the worst thing that can happen to a parent, “said Galan. And it was seriously affecting her mental health.

So what are some solutions? “The biggest thing is creating a plan. Many times when we worry about things, it’s because we feel out of control. But you can take some of that control by putting a plan together,” Rossman said. When we have a plan, we feel more in control.

And this is certainly the case for Gala and her family. After Dewberry’s first story with her aired last month, a major landlord saw her story and offered her a home. She is now making plans for her financial recovery.

If you’re having trouble making a plan, start with a financial advisor. You can do this at little or no cost at Consumer Credit Counseling of Rochester.