Many factors affect the well-being of Australians, and a new study from the National Australian Bank shows that debt – both mortgages and other debts – are among the top detractors and triggers of financial anxiety.
The study shows that mortgages had the fifth largest negative impact on the well-being of Australians.
About one in three Australians currently has a mortgage. Those in Tasmania said they were most affected by mortgage stress. On the other hand, mortgage stress affects Australians in Queensland and New South Wales the least.
“By age and sex, more women said it had a negative impact on their well-being than men in all age groups, with young men rating the net positive impact,” the study said, pointing out that this could suggest that many young men currently do not have a mortgage.
In terms of income brackets, more high-income people reported that mortgage loans had a negative impact on their well-being than low-income people.
Also Read: Mortgage Repayments Cause Stress For High Income People
It’s important to point out, however, that other debts have had a bigger negative impact on the well-being of more Australians than their mortgages. These other debts include personal loans, investment loans, payday loans, family or friend loans, and credit card debt.
“A significantly higher number of women in all age groups also said that other debts had a negative impact on their well-being than men, especially 18-29 year olds,” the study says. .
Australians earning around $ 75,000 to $ 100,000 a year were also more likely to feel the heat than those in other income brackets.
Of all the other debts, payday loans are the ones that cause the most anxiety.
“Interestingly, payday loan anxiety caused the most stress for men over 50 who had very little exposure to this type of debt. noted.
Despite concerns over both home loans and other debt, the Australian NAB Welfare Index reached 65.2 points in the first quarter of 2019, beating the long-term average by 64.5 points.
“Our sense of worth in life continues to add the most to our overall well-being. Our satisfaction with life also improved and we were happier,” the study said.