The Impact of Financial Trauma on Your Money Mindset
Financial trauma, an intense and enduring emotional response to financial distress, can have a lasting impact on an individual's relationship with money. Experiences like economic hardship or medical expenses can lead to negative thoughts, anxiety, and avoidance behaviors. Financial trauma can be triggered by various factors, including systemic problems like racism and discrimination. Recognizing the signs of financial trauma, such as money avoidance or overspending, is crucial in addressing and overcoming it. Establishing financial boundaries, seeking support from financial therapists or advisors, and gaining financial literacy can help individuals recover from financial trauma and develop healthier financial habits.