The world is reeling from the impact of Covid-19: Not only can it make us sick, it can threaten our very livelihood too. Already, there are Australians concerned about meeting their financial commitments, dealing with a drop in income as work hours reduce or facing total job loss. If you have been impacted by these events due to the current crisis, there are options that can help.
Don’t sit back and wait
Falling behind on your mortgage repayments and other financial commitments has potentially negative long term implications. Not only does it harm your credit score, it could also affect your ability to access credit further down the line. That’s why it’s so important to reach out to your lender or mortgage broker right away to find out what options you have for managing your loan repayments.
Many Australian lenders now offer relief packages for homeowners impacted by Covid-19, including options to refinance to a lower interest rate, extending loan terms and even deferring home loan repayments or switching to an interest only loan for a short period of time. (More information on these options in this recent blog post.)
To find out which of these would work best for your situation, get in touch with the team at Mortgage Express. We’ll connect you with a broker local to your area who can assist you make an informed decision about your financial future.
Commit to a budget
As a family or a household, it’s now more important than ever that you devise a budget and commit to it. Start by reviewing your spending habits at this time, paying careful attention to the ways in which you can cut any unnecessary costs.
Perhaps it means drying your washing outdoors instead of using the dryer or shopping online for the absolute essentials only and cutting out any extra treats. The most important thing is that everyone in your household is on board and is committed to sticking to the budget.
Here’s a really handy budget planner tool from MoneySmart that will help you track where your money is going, to help you spend less and save more.
If you’ve been directly affected by Covid-19 and you urgently need financial advice, talk to a Mortgage Express broker today. Many of the solutions available to those impacted in the current crisis can be actioned right away, including making changes to your home loan, personal and car loan, and credit card debt.
While all care has been taken in the preparation of this publication, no warranty is given as to the accuracy of the information and no responsibility is taken by Finservice Pty Ltd (Mortgage Express) for any errors or omissions. This publication does not constitute personalised financial advice. It may not be relevant to individual circumstances. Nothing in this publication is, or should be taken as, an offer, invitation, or recommendation to buy, sell, or retain any investment in or make any deposit with any person. You should seek professional advice before taking any action in relation to the matters dealt within this publication. A Disclosure Statement is available on request and free of charge.
Finservice Pty Ltd (Mortgage Express) is authorised as a corporate credit representative (Corporate Credit Representative Number 397386) to engage in credit activities on behalf of BLSSA Pty Ltd (Australian Credit Licence number 391237) ACN 123 600 000 | Full member of MFAA | Member of Australian Financial Complaints Authority (AFCA) | Member of Choice Aggregation Services.