Debt and your mental health

You do not have to sort everything out at once, and you do not have to do it on your own. The first steps below are small ones: telling someone, getting creditors to pause, and getting free advice from people who deal with this every day.

How are debt and mental health linked?

The link runs both ways. Worrying about money can cause or worsen anxiety, depression and sleep problems. And mental health problems can make it harder to earn, to keep track of bills, to open post or to pick up the phone, which lets debts grow. The Money and Mental Health Policy Institute, a charity set up to break this link, says 46% of people in problem debt also have a mental health problem, and people with mental health problems are about 3.5 times as likely to be in problem debt.

If you recognise yourself in that, it is not a sign that you have been careless. It is a common pattern, and creditors and advisers are expected to recognise it.

Should you tell your creditors?

It is your choice, but it often helps. The Financial Conduct Authority expects firms to treat customers in vulnerable circumstances fairly, and poor health is one of the main examples it gives. Separately, lenders must treat anyone in financial difficulty with forbearance and due consideration. In practice that can mean:

• putting collection on hold for a period
• freezing or reducing interest and charges
• accepting reduced or token payments while you recover
• contacting you only in the way you find easiest, such as by letter or email instead of phone calls
• dealing with a debt adviser or someone you trust instead of you

You can decide how much to say. “I have a mental health condition that makes phone calls difficult. Please contact me in writing” is enough to start. You do not need a diagnosis to ask for help.

What is the Debt and Mental Health Evidence Form?

The Debt and Mental Health Evidence Form (DMHEF) is a standard form that gives creditors reliable evidence of how your mental health affects your ability to deal with debt. It is used across the UK, and the current version (version 4) is shorter than earlier ones.

• Who fills it in: a health or social care professional involved in your care, such as a GP, nurse, psychiatrist, psychologist, occupational therapist, mental health therapist or social worker.
• Who asks for it: usually a debt adviser working with you, or a creditor. You can also use it with a debt adviser’s help.
• What it can lead to: creditors use it to decide what to do, which can include holding collection for longer, reducing payments, or in long-term cases considering writing the debt off.
• Cost: in England, a GP who agrees to complete it must not charge you. Elsewhere in the UK the position differs, so ask first.

What is a mental health crisis Breathing Space?

In England and Wales, the Breathing Space scheme (the Debt Respite Scheme) has two forms:

During either type, creditors cannot contact you about the debts included, cannot add interest or charges to them, and must pause enforcement. You should still pay what you can, especially ongoing rent and bills. Applying is free through free debt advice services, though some other advisers charge. Some debts cannot be included, such as court fines, child maintenance and Universal Credit advances. For full details, see our guide to Breathing Space or GOV.UK’s Breathing Space page.

Breathing Space does not exist in Scotland or Northern Ireland. Scotland has a 6-month moratorium on diligence, which stops creditors taking enforcement action. A Scottish mental health moratorium has been passed into law but was not in force as at September 2026. Northern Ireland has agreed in principle to extend the scheme, but nothing was in place as at September 2026.

Can debts be written off because of mental health?

Sometimes. Creditors are more likely to consider it if your condition is long-term, unlikely to improve, and means you have no realistic prospect of repaying. A debt adviser can put the request together, usually with a budget and a completed Debt and Mental Health Evidence Form. It is the creditor’s decision, and a written-off debt still usually shows as a default on your credit file for up to 6 years. Our guide to writing off debt covers this and the formal routes.

What can help while you sort things out?

• Open post with someone you trust, or at a set time each week, so it does not build up.
• Deal with priority debts first: rent or mortgage, council tax and energy. See help with debt problems for the full list.
• If you have no money for essentials this week, see emergency money for council crisis payments and other help.
• Check your benefits. Mental health problems can affect what you are entitled to, and advisers can check.
• Use trusted information. Mind has practical guidance on money and mental health, and the Money and Mental Health Policy Institute publishes research and resources on money and mental health.

You do not need to make big decisions about formal debt solutions while you are in crisis. A Breathing Space is designed to give you time. When you feel ready, a debt adviser can go through every option with you, and you can compare them in debt solutions compared.

What to do next

1. If you are in crisis, use the numbers at the top of this page first. Money can wait.
2. Contact a free, impartial debt adviser: MoneyHelper, StepChange, Citizens Advice and National Debtline can all help, and can ask about a mental health crisis Breathing Space. See where to get free debt advice.
3. Tell your creditors, or ask your adviser to tell them, that your mental health is affecting how you deal with money, and how you want to be contacted.
4. Ask your adviser whether a Debt and Mental Health Evidence Form would help, and who in your care could complete it.