2008 Woodie Awards
Pay less, don't stress
Mary Jo Lomax
Issue date: 6/16/08 Section: Features
I just read an article in the San Francisco Chronicle that said that people who are in debt are more likely to suffer from chronic stress-related problems than those who have low levels of debt stress.
According to the article, 14 percent more people are experiencing debt stress this year than in 2004 and the number will continue to grow as our economy slows and gas and food prices rise. The Associated Press-AOL Health poll showed, for example, that 27 percent of the respondents who experienced high debt stress had ulcers or digestive tract problems compared to 8 percent of those with low debt stress. 44 percent of respondents had migraines or other headaches compared to 15 percent ofthose who didn't owe a lot of money.
Heart attacks, lower back pain, severe anxiety and severe depression were also more common among people who have high debt stress.
According to the U.S. Public Interest Research Group, the average household receives eight credit card offers each month, and college students, who often don't have a regular income, are encouraged several times a week by posters, fliers and on-campus marketers to apply for credit cards.
The research group conducted a survey of over 1,500 college students at 40 different colleges and universities in 14 cities from October 2007 to February 2008. The survey asked how students pay for their education, how many use credit cards and how they use them, what their attitudes were toward credit card marketing on campus and whether or not they support principles to rein in credit card marketing on campus.
The results of the study "confirm that students are using credit cards in significant numbers and that a significant number are paying the price through late fees, high balances and delinquencies."
The findings also show that banks are marketing aggressively to students through a variety of channels.
Finally, the findings demonstrate that an overwhelmingly majority of students support limits on credit card marketing on campus to rein in unfair bank practices.
According to the article, 14 percent more people are experiencing debt stress this year than in 2004 and the number will continue to grow as our economy slows and gas and food prices rise. The Associated Press-AOL Health poll showed, for example, that 27 percent of the respondents who experienced high debt stress had ulcers or digestive tract problems compared to 8 percent of those with low debt stress. 44 percent of respondents had migraines or other headaches compared to 15 percent ofthose who didn't owe a lot of money.
Heart attacks, lower back pain, severe anxiety and severe depression were also more common among people who have high debt stress.
According to the U.S. Public Interest Research Group, the average household receives eight credit card offers each month, and college students, who often don't have a regular income, are encouraged several times a week by posters, fliers and on-campus marketers to apply for credit cards.
The research group conducted a survey of over 1,500 college students at 40 different colleges and universities in 14 cities from October 2007 to February 2008. The survey asked how students pay for their education, how many use credit cards and how they use them, what their attitudes were toward credit card marketing on campus and whether or not they support principles to rein in credit card marketing on campus.
The results of the study "confirm that students are using credit cards in significant numbers and that a significant number are paying the price through late fees, high balances and delinquencies."
The findings also show that banks are marketing aggressively to students through a variety of channels.
Finally, the findings demonstrate that an overwhelmingly majority of students support limits on credit card marketing on campus to rein in unfair bank practices.
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