Mary lives in transitional housing, as renting is beyond her budget and she also suffers from anxiety, so flatting with other people isn’t ideal.
Mary had done her best to prepare for unexpected expenses by having a limit of $200 on her credit card, which she only used for unplanned expenses, like when she ran out of food or for GP visits.
So she had the money to pay for a GP visit, but she was thrown when she was told at reception that she had $60 owing for scripts she had rung through for over lockdown. It had been so easy to ring, she had forgotten about the phone calls!
She was too embarrassed to ask for a payment arrangement at the counter, so she used her credit card, which she already had debt on as she’d run out of food that week.
Mary came to Birthright, wondering how to pay the debt off. Barb, our Financial Mentor, explained that Mary could set up an automatic payment, a facility that Mary hadn’t heard of.
A plan has been set up, where Mary has an automatic payment of $5 each week that goes to the doctors. Another cost for her is Secret Santa at Christmas time, so Barb suggested setting up another automatic payment for that.
Mary was grateful for the advice she received and said that it made her think more about long-term budgeting, as opposed to just getting by week-to-week.
Simple financial strategies can help cover unexpected costs. Ask for our free advice on debt management and budgeting.