Research shows that people experiencing stress from financial issues and debt are up to 20 times more likely to attempt suicide than those without such stress. Unfortunately, financial hardship is common—one study found that more than 50% of participants had two or more financial stressors.

In the U.S., the average person carries about $52,940 in debt, including car loans, credit card balances, mortgages, medical bills, personal loans, and student loans. Debt doesn’t only affect financial stability—it can also cause headaches, insomnia, abdominal pain, and significant mental health distress, increasing the risk of suicide.

Why Is Debt Linked to Suicide?

Debt can fuel overwhelming stress, anxiety, and feelings of helplessness. Financial crises, unpaid bills, or low socioeconomic status often negatively impact a person’s sense of self-worth. In severe cases, this emotional burden increases suicide risk.

What Causes Debt?

Debt builds up when expenses consistently exceed income. Ongoing reliance on credit cards, loans, and unpaid bills makes the problem worse.

A study identified four major financial stressors strongly linked to suicide:

  • Debt

  • Homelessness

  • Low income

  • Unemployment

The more stressors a person faces, the higher their risk of suicidal thoughts or attempts.

Homelessness

Homelessness is often tied to financial instability and can either stem from or contribute to mental health conditions. People experiencing homelessness face serious challenges such as:

  • Lack of safety

  • Limited healthcare access

  • Food insecurity

  • Violence

  • High stress

Unemployment

Unemployment removes steady income and drains savings, creating financial strain and worsening mental health. It can trigger:

  • Anxiety

  • Depression

  • Low self-esteem

  • Demoralization

  • Constant worry

Debt and Low Income

Both debt and low income are associated with suicidal thoughts and behaviors. Research shows that canceling debt or increasing income can improve mental health, though these solutions aren’t always easy. Financial education and counseling can reduce the burden.

How Debt Causes Mental Health Issues

Debt and stress create a damaging cycle. Financial stress can lead to depression, anxiety, and suicidal ideation, while mental health problems can make managing finances harder—keeping people stuck in a loop of hardship.

What To Do About Debt and Financial Stress

If you are struggling with debt, unemployment, or feelings of hopelessness, remember you are not alone. Support exists in many forms.

Seek Mental Health Counseling

Talking to a professional can help you manage overwhelming thoughts and anxiety related to financial stress. Therapy provides coping strategies and a safe place to process feelings.

Seek Financial Counseling

Nonprofits, universities, credit unions, and religious organizations often provide free or low-cost financial counseling. A counselor can help create a personalized budget, develop money-management skills, and identify available assistance programs.

Learn How To Budget

A budget reduces stress by giving you a clearer picture of your finances. Steps include:

  1. Write down your monthly income.

  2. List all expenses.

  3. Subtract expenses from income.

  4. Adjust spending if expenses exceed income.

  5. Reallocate funds toward essentials like housing, savings, and debt repayment.

When To Seek Emergency Help

If you or someone you know is experiencing suicidal thoughts due to financial hardship, seek immediate help. Call 988 (Suicide & Crisis Lifeline), 911, or go to the nearest emergency department. Also, reach out to someone you trust—friends, family, or community leaders.