Class
Article
Faculty Mentor
Yoon Lee
Presentation Type
Poster Presentation
Abstract
Financial anxiety from debt has shown to increase health issues (Moore, 2018), decrease marital satisfaction (Dew, 2011), and reduce resources left for retirement (Kim et al., 2017; Payne et al., 2019). Research has also shown that employees with more debt are more likely to be less productive at work than those with lower debt levels due to their financial stress (Moore, 2018). As debt levels for Americans are increasing, it is important to examine which types of debts have the greatest effects on financial anxiety and financial well-being. Using data from the 2018 National Financial Capability Study (NFCS), this study examined the influence of different types of debt on financial anxiety and financial well-being among Americans. The OLS regression results indicate that the number of debts significantly increased the levels of financial anxiety. The results also show that having debt of any kind (e.g., credit card debt, housing debt, automobile debt, high costs small loan, student loan debt, and medical debt) significantly increased levels of financial anxiety. Although having debt of any kind was positively associated with financial anxiety, the highest levels of financial anxiety were reported as they hold medical debt and credit card debt. Further, among the six types of debt, having credit card debt and medical debt significantly decreased the levels of financial well-being among Americans. This study concludes that debt influenced financial anxiety and financial well-being. While all debts had a negative impact on one’s financial anxiety, holding medical and credit card debt had greater impacts on the levels of financial anxiety and financial well-being. The findings of this study have implications for financial educators and policy makers. Financial educators should look at implementing education to help individuals decrease debt, and policy makers could use information from this study to help create policies for debt alleviation. Presentation Time: Thursday, 12-1 p.m. Zoom link: https://usu-edu.zoom.us/j/83544115581?pwd=dllPNVdPZlVaNWljTWpEbGI3QXR3dz09
Location
Logan, UT
Start Date
4-11-2021 12:00 AM
Included in
The Influence of Types of Debt on Financial Anxiety and Financial Well-Being
Logan, UT
Financial anxiety from debt has shown to increase health issues (Moore, 2018), decrease marital satisfaction (Dew, 2011), and reduce resources left for retirement (Kim et al., 2017; Payne et al., 2019). Research has also shown that employees with more debt are more likely to be less productive at work than those with lower debt levels due to their financial stress (Moore, 2018). As debt levels for Americans are increasing, it is important to examine which types of debts have the greatest effects on financial anxiety and financial well-being. Using data from the 2018 National Financial Capability Study (NFCS), this study examined the influence of different types of debt on financial anxiety and financial well-being among Americans. The OLS regression results indicate that the number of debts significantly increased the levels of financial anxiety. The results also show that having debt of any kind (e.g., credit card debt, housing debt, automobile debt, high costs small loan, student loan debt, and medical debt) significantly increased levels of financial anxiety. Although having debt of any kind was positively associated with financial anxiety, the highest levels of financial anxiety were reported as they hold medical debt and credit card debt. Further, among the six types of debt, having credit card debt and medical debt significantly decreased the levels of financial well-being among Americans. This study concludes that debt influenced financial anxiety and financial well-being. While all debts had a negative impact on one’s financial anxiety, holding medical and credit card debt had greater impacts on the levels of financial anxiety and financial well-being. The findings of this study have implications for financial educators and policy makers. Financial educators should look at implementing education to help individuals decrease debt, and policy makers could use information from this study to help create policies for debt alleviation. Presentation Time: Thursday, 12-1 p.m. Zoom link: https://usu-edu.zoom.us/j/83544115581?pwd=dllPNVdPZlVaNWljTWpEbGI3QXR3dz09