When a citizen ends up in unsustainable over-indebtedness, large costs arise for society. The financial costs are costs for subsistence as a result of exclusion, such as unemployment insurance, sickness benefits and financial assistance, as well as production losses due to inability to work. Other costs consist of welfare costs, for example as a result of the over-indebted person getting mental or somatic (physical) ill health or developing addiction.
The vision is that we can support our residents with financial challenges early and smoothly so that their financial stress does not grow into a crisis situation.
If we prevent a crisis situation, the individual can avoid unnecessary anxiety and suffering while society avoids the cost of services for possible debt restructuring, mental illness, sick leave, etc.
We are testing a conversation tool that we think will
- Give officials a natural and de-dramatized entrance to start a discussion with residents about various possible problem areas in their lives.
- Make it easier for the resident to identify the most pressing challenges in her life, and to give the resident more power over what and how to describe their situation.
This work is done together with the Labor Market Administration, the Social Administration.