If you borrow to soothe stress or put off facing a shortfall, and keep sliding back into debt, stop relying on willpower and get help. Debtors Anonymous runs free 12-step meetings for compulsive debtors, and a nonprofit credit counselor can build a plan to repay what you owe.
Charging groceries after a layoff is borrowing for an emergency. Charging a shopping spree because of the layoff is borrowing to cope, and that’s the kind that keeps coming back.
Debtors Anonymous calls this compulsive debting, and it works like other compulsive habits. Borrowing brings relief right away and dread only when the statement arrives, so in the moment, the relief beats willpower. That’s how the balances creep back after a payoff.
Hiding purchases or balances is a sign, and so is juggling cards, paying one with another, to stay afloat. For a fuller check, Debtors Anonymous publishes a 15-question self-test and says most compulsive debtors answer yes to at least eight.
Start with three moves this week:
- List every debt, with its balance and interest rate, in one place.
- Open no new cards or loans, and skip balance transfers that only buy time.
- Pay for everyday spending with cash or a debit card.
Then get help aimed at the habit. Debtors Anonymous meetings run in person, online, and by phone, and anyone who wants to stop running up unsecured debt, such as card balances, can join.
A credit counselor certified by the nonprofit National Foundation for Credit Counseling reviews your budget and can set up a debt management plan. You make one monthly payment to the counseling agency, which pays each creditor and may negotiate lower interest rates for you. Get any fees in writing before you sign up.
If the urge to borrow follows your moods, see a therapist too. A repayment plan can’t treat the anxiety or depression behind the borrowing.
Before your next charge, ask whether it fixes a problem or a feeling. If it’s a feeling, find a meeting before you reach for the card.
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