How to Spot if a Friend or Family Member Has Debt Problems

Up to 10% of UK adults are thought to have debt problems, and it’s only going to get worse. Rents rise, housing becomes unaffordable, petrol and food prices increase daily, and stagnant earnings fail to keep up. It’s a downward debt spiral and, for those trapped in it, it can be terrifying. Debt problems can affect anyone, from young professionals to retirees, and the impact often goes far beyond finances. Struggling with debt can lead to stress, anxiety, and relationship strain. Recognising the early warning signs in friends or family members can help you step in with support before the situation escalates.

So how do you spot the warning signs?

Signs a loved one has debt problems

1. Emotional & Behavioural Changes

These signs can be subtle, but over time, they may point to a deeper financial struggle:

• Increased stress, irritability, or anxiety

• Withdrawal from social activities due to financial strain

• Avoidance of conversations about money

• Mood swings linked to bills or unexpected expenses

2. Financial Red Flags

Some signs are easier to spot, particularly if you share expenses or live together:

• Unopened bills or overdue payment notices piling up

• Frequently borrowing money without repayment

• Selling personal belongings unexpectedly

• Using high-interest credit cards or payday loans

3. Lifestyle Changes

A sudden change in lifestyle — either cutting back dramatically or spending recklessly — can signal financial instability:

• Avoiding necessary expenses (e.g., skipping meals, not repairing essentials)

• Sudden splurges despite apparent money issues

• Downgrading living arrangements or selling property

How to Approach Someone About Debt

Approaching a loved one about money can be difficult. Here’s how to do it with empathy:

1. Choose a private, calm setting

2. Express concern, not judgment – Use “I’ve noticed…” instead of “You should…”

3. Offer practical help – Research debt advice services or budgeting tools together

4. Be prepared for denial – They may not be ready to talk immediately

What to do if a loved one has debt problems?

Too many people get into difficulty when, often, good debt advice is all that’s needed to help them onto the road to recovery. If someone you know has financial problems, encourage them to seek help at the earliest opportunity. For more advice on debt management, contact Irwin Insolvency.

Spotting the signs of debt problems early can make all the difference. If you suspect a loved one is struggling, approach them with empathy and guide them towards professional help. At Irwin Insolvency, we offer confidential, non-judgmental advice to help people regain financial control.

Helpful Resources

• MoneyHelper – Government-backed debt advice

• Citizens Advice – Free legal and financial advice

• StepChange Debt Charity – Free debt management support

Call us today on 0800 254 5205 for a free, confidential consultation.