Debt has long been a concern for many, but the extraordinary issues of the last three years have stretched the agony even more. Even with UPI money transfer making our life easier, the COVID-19 epidemic and its aftermath caused significant disruption in our lives, including our health, careers, and financial stability, among other things. More lately, skyrocketing inflation, increasing petrol costs, and even newborn formula shortages have piled anguish onto pain. And it’s not only a shortage of funds that’s generating issues. A lack of funds resulted in a significant rise in denial, tension, anger, despair, and anxiety. 

  • Low self-esteem and reduced cognitive functioning are two of the negative consequences. That is, when you are stressed because you can’t pay your water bill, you can’t study, remember, be attentive, or solve issues. 
  • The phrase “mental illness” refers to a wide spectrum of problems with varying degrees of severity. Whether it is a minor annoyance or a major problem, it is critical to be aware of it, acknowledge it, and take action to fix it. 
  • Behavior patterns that urge some people to spend without constraint can lead to debt just as easily as a financial emergency triggered by a car accident. Regardless of how it occurs, being in debt can elicit distressing emotional responses. However, UPI payments helps in keeping track of our expenditures, and minimize unnecessary purchases.
  • Many of these behavior patterns may originate in the most fundamental aspects of our financial life. Most student loan debtors endure declining mental health and increased worry as they realize they cannot repay their debts or would have to default.
  • What does debt do to new adults?

These issues are especially challenging for young people, who are increasingly entering adulthood with debilitating student loan debt that impacts every area of their life. These one-of-a-kind obstacles result in one-of-a-kind types and intensities of stress. 

While there are no easy answers to these problems, they must be addressed. Creating a healthy, proactive method for dealing with financial difficulties before they spiral out of control can assist young people in navigating the deeper, harsher waters ahead. Even, government initiatives like BHIM UPI to make bill payments can result in less stress. 

  • Effect of debt on the older generation.

Debt amassed over decades of living – mortgages, credit cards, personal loans – can cause a catastrophe for individuals approaching retirement age or even those attempting to plan for retirement. 

Retirement savings often need discipline and constraint, both undercut by debt and, in turn, undermined by debt. Debt might make it harder to choose retirement savings above debt repayment, seniors have fewer financial help alternatives.

We can, however, manage our finances to ensure we never fall victim to debt.

  1. Set up automatic payments with UPI banking wherever feasible to assist in guaranteeing that bills are paid on time and that you avoid late fees and interest rate increases.
  1. Continue to seek methods to save your money. If you try hard enough, you will find something in your budget to cut off to help you make ends meet. Review your budget regularly and seek ways to save costs.
  1. Include everyday costs such as food and transportation to work, as well as your recurring rent, loan, and utility payments in your budget. Use UPI transactions to  make everyday bill payments as you can avail offers and coupons with each payment, resulting in saving money.
  1. Spending should be prioritized. If you’re having difficulties managing your monthly costs, prioritizing where your money goes first will help. Feeding and sheltering yourself and your family and keeping the power on are examples of requirements. Even if you’re behind on your payments and are harassed by debt collectors, keep your priorities straight.


Whatever path you pursue towards debt reduction and resolution, one advantage is that you will likely experience less stress and worry, which may have contributed to depression or more significant mental health difficulties. Lifting the debt load off your shoulders will give you greater financial freedom and discretionary cash.