It starts when you find a bill stamped with ‘overdue’ in heavy red ink.
You place it on the pile with the rest of the bills, knowing you don’t have enough money to pay it this month (or possibly ever).
You’re not alone. Australians are in record levels of debt.
Up to 2.4 million Australians are facing some level of financial stress or vulnerability, according to NAB’s Financial Resilience Report.
It’s got so bad that the Reserve Bank has warned debt is the biggest domestic risk facing the Australian economy.
So if you’re having trouble paying your bills, what can you do?
Talk to a financial counsellor
“Anyone who has found themselves no longer able to pay their bills and debts — the worst thing you can do is avoid it and pretend it’s not happening,” says Claire Tacon, a financial counsellor with the National Debt Helpline.
Around 500 people call the helpline every day.
“Often they have taken a long time to work up the courage to call us. But don’t worry, financial counsellors are non-judgemental. We’re consumer advocates, we’re on your side,” Ms Tacon says.
The independent and free service hears from people with all backgrounds and income levels.
“Usually people have been extended a line of credit that they could handle while they were working, but they lose their job and can no longer pay it back,” Ms Tacon says.
“People don’t have safety nets in term of actual cash. They’re using credit as a safety net, and that’s pretty much always going to end up being a problem.”
Continue Reading about what to do if you’re in financial crisis HERE
This article is from: ABC Life
By Emily Stewart
Insolvency Options is here to help you if you are experiencing personal or corporate debt. Find out more here
Recent Comments