Firstly, I hope you’re doing OK. There’s no denying it’s a challenging time for all of us as we wade through this unchartered territory. With so much out of your hands, we urge you to focus on what you CAN control, with as much grace and gratitude as you can muster.
While we’re doing all we can to #flattenthecurve by working from home, conducting meetings online and otherwise social distancing, we have put together a few ways that you can mitigate your exposure to COVID-19 financially speaking.
- Speak with me ASAP if you are worried about your ability to repay your loan in the next 3-6 months.
- Understand the equity you hold in your property. This can be done by getting a valuation completed.
- Look to reduce your interest rate or consider, where appropriate, interest only strategies for the short term. This can reduce cash flow strain via refinancing or renegotiating with your current bank.
- Utilise your offset accounts to reduce interest costs and store any excess funds.
- Understand your redraw facilities and what is or is not available. What other access to credit do you have?
- Possibly reduce your repayments back to the minimum if you are paying more than required. (Again, this is a temporary strategy.)
- Understand your rights pertaining to your mortgage for such things as ‘repayment holidays’ when in times of distress or default.
- Start a budget and reign in the superfluous spending. Yes, it seems basic, but it’s something that very few people actually do. There are plenty of apps or tools that you can use to work out where your daily and monthly spend is going.
If you require anything over the coming weeks, we will be available anytime and can do everything we need to do over Skype, Email, Docusign, Facetime or Zoom.
All lending subject to status and lenders criteria. Terms & conditions apply. This document contains general information only. Your own personal circumstances have not been considered and you should seek independent financial advice prior to making any decision on a financial product.