37. Compulsive debting resembles alcoholism

By Tom O'Connell

Many years ago a chart was developed to track the progressive deterioration of untreated alcoholism. It also tracks the route back to health. Interestingly, the resemblance between alcoholism and compulsive debting is striking.

The alcoholic starts out taking a drink to relieve tension, and may not go to extremes. Likewise for the debtor. "Let's replace those old kitchen cabinets. They're really outmoded." At first the debting may be reasonable and the monthly payments modest. Then comes giving in to increasing temptation, doing more spending, allowing debts to escalate, and feeling anxious about meeting payments.

The alcoholic becomes preoccupied with the next drink; the debtor obsesses about the next purchase. And then comes the "loss of control" phase. For the alcoholic it leads to drunkenness, and for the debtor it leads to plunging in over one's financial head.

For the debtor there's a growing urgency about purchases, which is similar to the alcoholic's craving that leads to excessive drinking. Then comes increasing dependence on debting as a way to deal with moods. At this point there may be some sneaky spending  just as the alcoholic does sneaky drinking.

Alcoholics are afflicted by guilt, and so are compulsive debtors. When efforts to put a lid on the spending are unsuccessful, the debts mount and so does the guilt. Isolation is part of the picture too, shown by the inability to discuss the problem with loved ones.

We shouldn't forget grandiosity either. This trait is found in many alcoholics as well as compulsive debtors. "Hey, you only go this way once! Let's get the Mercedes. Don't we deserve it? And how about a swimming pool? If the Smiths can afford one, why can't we? And what about the country club? Sure, the dues are high, but what's the point of living if we can't socialize with our peers?"

As the addiction deepens the compulsive debtor deteriorates, just as the alcoholic does. Some of the signs are impaired thinking, obsession with the behavior, loss of will power, progressively more risky spending binges, deepening fears, the inability to take appropriate action, loss of relationships, loss of possessions, and moral decline.     

Like stopping drinking, getting out of debt isn't easy. But it can be done. And Jerrold Mundis has written a whole book about addictive debting and recovery. It's based on the principles and techniques of Debtors Anonymous, and it's worth buying. The title is "How to Get Out of Debt, Stay Out of Debt and Live Prosperously."

Getting out of debt involves a commitment to pay back every dollar you owe. And to do this you have to avoid taking on new debt. One of the key principles is "You can not get out of debt by borrowing more money."

The recovery process starts with a Repayment Plan, and the development of a Spending Plan. Also, the Three Cardinal rules of Recovery are:

1. Don't debt, one day at a time.

2. Keep the Spending Record scrupulously.

3. Adhere closely to your Spending Plan.

Countless others have freed themselves from debt. You can do it too.

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