In an era of rapid digital transformation, online debt advice has emerged as the preferred method for individuals seeking financial support, particularly those with vulnerabilities, accessibility issues, and addictions. Research conducted by STAMMA and Money Wellness reveals a significant shift towards online platforms for debt advice, especially among those under 55.
Key Findings from the Research
The study highlights that 53% of people under 55 prefer to seek debt advice online. This preference is even more pronounced among Gen Z (18-24-year-olds), with only 18% favoring phone consultations. Furthermore, 20% of young people in this age group perceive phone conversations as a barrier to obtaining advice.
Barriers to Seeking Debt Advice
Despite the availability of various support methods, the research indicates that 69% of people delay seeking debt advice due to several barriers:
- Embarrassment: 48% of women under 55 and 44% of workers feel embarrassed to seek help.
- Fear of Judgment: 44% of women under 55 are afraid of being judged.
- Lack of Time: This is a significant barrier for 24% of 25-34-year-olds, rising to 29% for females in this age group.
Preference for Online Over Phone Consultations
When it comes to disclosing personal information, there is a clear preference for online platforms. Only 48% of people feel comfortable sharing details about accessibility issues, addiction, or vulnerabilities over the phone. In contrast, nearly two-thirds (64%) of individuals under 55 are comfortable disclosing such information online.
This preference is starkly different for those over 55, with 51% expressing discomfort in sharing personal information online, compared to just 28% in younger age groups.
Addressing the Needs of Vulnerable Populations
Individuals who are disfluent, such as those with stammering, Parkinson’s, or who have had a stroke, face significant barriers in phone consultations. The need for patience and understanding is crucial in these interactions. Kirsten Howells, Services Director at STAMMA, expressed delight in collaborating with Money Wellness, stating, “We were absolutely delighted to work with Money Wellness, who provide such a vital service. It’s been a real pleasure working with an organization that takes the issue of stammering seriously.”
Sebrina McCullough, Director of External Relations at Money Wellness, emphasized the importance of online debt advice in today’s climate. “With more people struggling with the rising cost of living, the need for free debt support has never been greater. We’re helping around 1,000 people every day, with around 66% disclosing some form of vulnerability,” she said.
The Role of Online Debt Advice
The research underscores the critical role of online debt advice in supporting individuals who are less comfortable sharing personal information. The findings highlight the necessity for the debt sector to offer a range of support options—be it face-to-face, over the phone, or online—to ensure that no one is deterred from seeking the help they need.
McCullough added, “Working with STAMMA has helped us identify areas where we can provide more structured help to those who are disfluent. We have been able to better train our advisers so they understand how to better support while also offering online advice for those who prefer not to speak.”
Conclusion
As the preference for online debt advice continues to grow, it is essential for support services to adapt and provide diverse, accessible options for all individuals. The collaboration between STAMMA and Money Wellness serves as a model for how tailored approaches can effectively address the needs of vulnerable populations, ensuring that everyone has the opportunity to seek and receive the support they require.
