The Impact of Money Disorders on Mental Health

Do you hoard money, compulsively buy or are financially dependent? If you answered, "yes" then you could have a money disorder that is impacting your mental health. To help understand what are some other examples of someone having a money disorder and the impact money disorders have on mental health, I have interviewed psychologist Joe Lowrance.

Tell me a little about yourself.
"I'm a clinical psychologist in Atlanta. One of my primary areas of interest and work is '˜financial psychology' which is an emerging area of psychology that deals with our relationship with money and how that plays out in our lives. How our attitudes, beliefs, thought processes and emotions about money impact the way we spend, save, give, earn and invest. And also, the way money influences how we experience ourselves and interact with others.

Financial psychology is a component of our underlying psychology. For many their financial psychology can greatly influence their self-concept and the way they interact with others. A great deal of our financial psychology lies outside of our awareness if left unexplored.

I work with individuals and couples in my practice. I also own a company, www.FinancialPsychologyCeus.com that provides education to mental health professionals related to financial psychology and money-related issues."

What are some examples of someone having a money disorder?
"First, let me say that the term 'disorder' is a rather official or formal term in the mental health fields , utilized typically in conjunction with the Diagnostic and Statistical Manual of Mental Disorders (DSM-TR-IV). The current DSM-IV-TR largely doesn't include money-related struggles as formal diagnoses.

Having said this, there are a number of ways in which people struggle with money that impacts their mental health, or that financial psychology influences or is related to well-being. Psychologists Ted and Brad Klontz in their book Mind Over Money offer a useful way to think about money struggles -- that is that they fall into two main clusters, money-worshiping behaviors, those that place a disproportionate importance, on earning, spending and saving, and money-avoidance behaviors, those that involve a rejection or avoidance of money.

Money-worshiping behaviors include such behaviors as overspending, compulsive buying, unreasonable risk-taking with money, pathological gambling, hoarding, and workaholism. Money-avoidance behaviors may include behaviors such as financial denial that is the use of denial to minimize money problems. Financial reject where feelings of guilt, shame, unworthiness are associated with money. Under-spending and excessive risk-aversion are also Money-avoidant type behaviors.

We also can struggle with money in our relationships. These relational money behaviors can include financial infidelity, financial enabling, financial dependence, and financial incest, or when money used to manipulate one's child or to satisfy some adult need.

These kinds of money behaviors become problematic when there is an ongoing pattern that persists despite negative emotional, relational and/or financial consequences."

What type of impact can money disorders have on mental health?
"Problematic money behaviors can be reflective of dysfunctional financial psychology and adversely impact an individual's mental health, relationships and financial condition. At times money disorders are primary, while in other cases mental health issues such as stress, anxiety, depression or relationship struggles are most apparent and only upon further exploration will problematic money behaviors become evident.

Problematic money behaviors and the underlying dysfunctional financial psychology are actually common. They are well documented in the clinical literature and there is increasing research being conducted on these topics."

What can someone do to overcome their money disorder?
"Mental health professionals working with financial psychology are coming to understand the benefits of '˜financial wellness'. Financial wellness is a component of overall well-being. It includes an ongoing attendance to one's present and long-term financial needs and obligations, as well as experiencing satisfaction with one's financial situation and low levels of money-related stress as an individual and in the context of one's relationships. Financial wellness is a function of a number of factors including financial psychology.

Each of us has a unique relationship with money that is a product of our history and developmental process. Overcoming a money disorder begins with a willingness to explore and understand our personal financial psychology. In essence we become a student of ourselves. We become curious about why we hold certain beliefs about money. Why money produces certain emotions in us. Why we engage in certain problematic money behaviors.

This exploration allows us to gain insight into our attitudes, beliefs, and emotions associated with money. Our discoveries create a road map for change. Change being very much a process occurring over time.

This change process often includes the development of new capacities and skills. New healthy and mature ways to get our needs met. Capacities and skills that support us as individuals and in our relationships.

Money is a very complicated object and often our relationship with money is deeply rooted. And therefore the work required to move beyond a money disorder can be challenging. However, developing healthy financial psychology is vital to achieving financial wellness.

A number of books and a variety of literature are available as resources to those seeking to address money-related struggles. Often though it is hard to create significant change on one's own. A trained mental health professional can play a valuable role, offering guidance and support."

Thank you Joe for doing the interview on the impact of money disorders on mental health. For more information on Joe Lowrance or his work you can check out his website on www.LowrancePsychology.com .

Recommended Readings:
http://www.associatedcontent.com/article/8033905/money_mental_health_financial_wellness.html?cat=72">Money, Mental Health & Financial Wellness

http://www.associatedcontent.com/article/7988837/tips_for_overcoming_financial_infidelity.html?cat=72">Tips for Overcoming Financial Infidelity

http://www.associatedcontent.com/article/8070127/tips_for_coping_with_financial_stress.html?cat=25">Tips for Coping with Financial Stress as a Family