How to Overcome Financial Abuse in 2022
Abuse comes in many forms. It can be verbal, emotional, or even develop into assault. But, did you know that financial abuse can occur just as frequently in unhealthy relationships? In fact, research shows that financial abuse is one of the first warning signs for dating violence and domestic abuse.
Here, we’ll discuss identifying financial abuse and how you can rebuild your finances and independence.
Identifying Financial Abuse
Early detection is key. The first step to overcoming financial abuse is learning to recognize it. Sometimes financial abuse can be hard to identify because it’s subtle enough to pass as the abuser “being frugal” or “protective” over your money. Common signs of financial abuse may include:
Withholding financial information
Restricting access to bank/credit accounts or your paychecks
Limiting spending or keeping you from being able to work
Forcing you into debt
Manipulation, controlling behavior, or isolation
Victims of financial abuse face long-term consequences, including financial consequences, like low or ruined credit scores and, in many cases, no credit history at all. Though survivors often face a variety of challenges as they work to rebuild their financial lives, there are a variety of resources available to help.
Getting Help
Leaving an abusive situation is hard, but you don’t have to do it alone. To help you leave, heal, and regain your personal and financial independence, build a team of supportive people around you, including a counselor, support group, and trusted family and friends. When you’re ready to build your financial independence and literacy, consider setting up a meeting with a free credit counselor. These organizations provide essential financial education, can help you begin to rebuild your future financial life, and help you get out of debt.
Rebuilding Your Finances
To reclaim control over your finances, your first step should be to take an honest look at your current financial situation. How is your credit score? How much debt are you carrying? Do you have any accounts in your name? Once you’ve evaluated your financial situation, you’ll be empowered to determine the best course of action to move forward from financial abuse.
Start by opening a new bank account in your name. Save a small amount of money with every paycheck to start building up your savings. If there are financial goals you’re trying to reach, like an emergency savings fund, put a little money toward that, too. Are you thinking about buying a car or a house? Create a budget that will help you meet those financial goals and start focusing on building your credit. This is a very important step toward achieving financial success because lenders use your credit score to determine whether they will loan you money.
Remember, you’re not alone. Surround yourself with trustworthy people and don’t be ashamed to ask for help when you need it. Working to establish and maintain your financial health will be a lifelong journey, but every step you take to recover from financial abuse will be worth it.
If you or someone you know is experiencing financial abuse and is in need of assistance, please call our 24-hour COPEline number at 888-285-5665.
