Good morning.
Love was in the air this week as many couples celebrated Valentine’s Day, but millions of single Canadians are either still searching for a partner or opting out of dating entirely and money is a big reason why, according to a new study by personal finance comparison site Finder.
The study found that being in debt is a dating dealbreaker and a potential relationship ender for one-third of the 1,846 Canadians surveyed.
“Few people want a case of sexually transmitted debt,” Romana King, senior finance editor at Finder, said in the report. “Canadians who are looking to make themselves more attractive as prospective partners should look for ways to consolidate debt and get their finances back on track.”
Thirty per cent of those surveyed said substantial partner debt was a relationship dealbreaker, topped only slightly by a history of drug or alcohol addiction (33 per cent) and a history of sexual infidelity (36 per cent).
But exactly how much debt is too much debt? Overall, three-quarters of Canadians would consider ending or not starting a relationship because of a partner’s debt. Of those, a third would reconsider a relationship if a partner had a small amount of debt (between $500 and $15,000), while another 15 per cent believe no amount of debt is acceptable.
Still, a quarter of those surveyed indicated that no amount of debt would stop them from pursuing a relationship with someone they love, which King said could pose a problem.
“This mindset needs to be challenged,” she said. “Since the reality is that debt, the stress of financial problems and financial dependence can inflict serious stress on an individual and on a relationship. Each person in a partnership needs to take steps to protect their own financial future.”
Single Canadians are divided as to whether they want to find a partner, with 37 per cent wanting a relationship for companionship and another 37 per cent not interested in dating at all.
Others have money concerns in mind, with 13 per cent wanting a partner to share expenses and make life more affordable, and another 13 per cent wanting a partner but not dating because it is too expensive, while 17 per cent admitted to staying in a relationship they no longer wanted to be in for financial reasons.
“A person can feel trapped and financially dependent if they have no income or live on a limited income — whether due to disability, being a stay-at-home parent or another reason,” King said. “While leaving can feel like an impossible task, we need to remember that staying in a relationship for money, not love, can have detrimental effects on your physical, emotional and even your financial health.”
Here are her top three tips to tackle debt and become datable in 2023:
1) Get educated: Familiarize yourself with what it costs to borrow and know when it makes sense and when it’s best to cut costs.
2) Focus on the short-term: Examine your budget and look for ways to reduce spending.
3) Develop a long-term plan: List your goals, analyze your options and assign tasks to each goal.
“The good news is you don’t have to stay,” King said. “There are ways to gain financial independence and find your own footing and your own way.”
Posthaste will return on Tuesday, Feb. 21 after the Family Day holiday.
