Understanding the Impact of Failure Managing Debt on Young People: A Systematic Review

• Published in: Lecture Notes in Networks and Systems
• Main Author: Abdul Mulup N.A.; Isamail M.Z.; Abd Rahim S.
• Format: Conference paper
• Language: English
• Published: Springer Science and Business Media Deutschland GmbH 2024
• Online Access: https://www.scopus.com/inward/record.uri?eid=2-s2.0-85206436436&doi=10.1007%2f978-3-031-67437-2_53&partnerID=40&md5=2e5621f4a5b008f4387683013df67b82

Nowadays, the problem of debt among young people has become more widespread, covering various types like credit card debt, housing loans, car loans, student loans, and business loans. If these debts aren’t managed or repaid properly, it can greatly affect individuals’ lives and future opportunities. This study aims to understand the effects of young people not paying back their debts by looking at data from databases like Emerald, Springer, Web of Science, and MyJurnal. Five main areas show how mismanaging debt impacts young people. First, there’s the financial side, which includes things like household income, financial problems throughout the credit cycle, not knowing much about finances, feeling really stressed about money, and having a lot of debt or being stressed about it. Second, there are physical and mental effects, like high blood pressure, feeling anxious or depressed, and even thinking about suicide. Third, not handling debt well means having to pay extra money, like higher interest rates and late fees. Fourth, it could lead to legal problems, even bankruptcy. Lastly, not paying debts can make people feel bad about themselves, lowering their confidence, making it hard to control spending, and reducing how happy they feel with their lives. © The Author(s), under exclusive license to Springer Nature Switzerland AG 2024.