Joanna Thomas was working for a UK government department when she received a bonus. As had been the case since she got married in her early 20s, her earnings went into her only bank account—a joint account shared with her now ex-husband. The money landed in the account in the morning, and by the afternoon, her then-husband messaged her to say he had withdrawn it all to buy a boat on eBay.
Thomas, now in her 40s and living in south-west England, found herself working harder and harder to keep up with the mounting debts he had accumulated in their joint names. This was just one of many examples of his financially reckless and controlling behavior, coupled with emotional and psychological abuse. This type of financial control is known as coerced debt, a lesser-known but devastating form of economic abuse.
“I was just 18 when I met him. He was ambitious, bright, and hard-working, though he always had a bit of a temper,” Thomas recalls. “I had just moved to university. My only reference point was my mum and dad’s relationship. They always had joint accounts, and my dad was in charge of the money. I thought that was what you did.”
She got engaged early in the relationship and soon fell pregnant.
How Did Financial Control Spiral Out of Hand?
Money became tight when her ex-husband quit his job to start a business, mortgaging their home with a 120% loan to fund his training.
“He began to accrue debts associated with the business, including taking out credit in my name to help keep things afloat,” she explains. “He was starting projects that couldn’t be finished. I came home one week, and he had taken down the ceiling and walls in the living room and dining room. There was absolutely no way to afford to put plaster back on the walls and repair the damage.”
She describes a pattern of reckless financial decisions that she was left to clean up. “He wouldn’t renew the MOT on the car, he wouldn’t pay road tax, he would park illegally and get fined. He made crazy decisions, and I had to fix them.”
It took more than 11 years after their relationship ended for Thomas to recover from the financial impact. She estimates she paid at least £130,000 to clear the debts he had left behind.
How Common is Coerced Debt?
Thomas’s experience is far from unique. According to a debt charity, an estimated 1.6 million people were coerced into debt in the past year alone. Coerced debt is a form of economic abuse where the perpetrator forces a partner, family member, or friend into financial obligations through controlling or threatening behavior.
Victims may find themselves with mortgages, credit cards, or loans in their name without their consent. They may also have their wages taken or their money stolen, leaving them no choice but to borrow to survive.
Despite its prevalence, few people recognize coerced debt as a form of abuse. Many victims do not realize they have been subjected to financial control or that there is support available to help them recover.
Why is There So Little Support for Victims?
A significant portion of those affected—nearly 60%—try to deal with coerced debt alone. Experts say that victims often do not disclose their experiences due to concerns about safety, shame, or simply not realizing they have been coerced into debt.
“This was often related to safety,” says an advocate for debt victims. “But it was also because they didn’t realize they had been through coerced debt, or that there was anything they could do about it.”
Less than a fifth of those who sought help had any of their coerced debts written off. Even in cases where debts were forgiven, their credit scores remained poor for years, preventing them from rebuilding their financial independence.
What are the Long-Term Consequences of Coerced Debt?
When Thomas ended her marriage, she had no financial independence. She had to leave her ex-husband in the family home with their children while she slept on sofas.
He stopped paying the mortgage but refused to sell the property or remove his name from the loan, trapping Thomas in a joint commitment she could not escape. “I explained the situation, but the mortgage company said there was nothing they could do.”
With no other options, she took on the joint debts in her name just to break free of him.
Another victim, Anita, ended up with £52,000 in debt because her abuser used their joint savings without her consent. The financial abuse was just one part of her suffering—she also sustained a brain injury when her ex-husband attempted to kill her. Despite the trauma, she was the one left with legal action against her for unpaid school fees, resulting in a county court judgment (CCJ).
A CCJ or a default on a loan can damage a person’s credit history for at least six years. This impacts everything from taking out a mobile phone contract to renting a property or even securing a job.
Years after she left her marriage, Thomas was offered a promising job. But as part of the application process, she was required to undergo a credit check.
“My heart sank—I had to admit to a stranger, who was going to become my boss, what a financial mess my life had been,” she recalls.
What Needs to Change?
Experts believe there needs to be a standard approach to recognizing and addressing coerced debt. From identifying victims to ensuring they are not re-traumatized in dealings with creditors, financial institutions must do more to help restore economic justice.
“In some cases, we’ve seen clients have large amounts of debt written off—one had £30,000 forgiven—but others were turned away,” says an advocate. “Too many victims are slipping through the cracks.”
Debt charities and banking trade bodies are calling for government intervention, urging ministers to establish a cross-departmental task force led by the Treasury and the Home Office. They also want the Financial Conduct Authority to introduce a standardized approach across banks and creditors to prevent further harm from economic abuse.
One proposed solution is a “tell us once” service, similar to what exists for handling the affairs of a deceased person. Many victims of economic abuse find themselves repeatedly having to explain their traumatic experiences to multiple institutions.
A successful pilot scheme has already tested an “economic abuse evidence form,” which allows victims to document their experience once and present it to various creditors. Over 25 banks and building societies have signed up to accept it, and campaigners hope to extend this to utility providers and local authorities.
Are Credit Agencies Doing Enough to Help?
Credit reference agencies acknowledge the growing awareness of economic abuse and say they are taking steps to support victims.
“If someone has been a victim of coerced debt, and credit has been taken out in their name without consent, we can help dispute these applications with lenders,” says a representative from a credit agency.
Another agency representative adds: “We can raise disputes, break financial links with abusers, and add notes to credit reports explaining that debts resulted from abuse.”
While these are positive steps, advocates stress that much more needs to be done to prevent victims from being trapped by coerced debt long after their relationships end.
Economic abuse remains a largely hidden crisis, but as awareness grows, campaigners hope that systemic changes will finally provide real support for those struggling to escape coerced debt.
Add a Comment