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Disturbed present, better future?

The Debtfix crew launched with a positive start to 2021, initiating a collaborative hui at Warkworth with major stakeholders who work to reduce New Zealanders’ personal debt.

Through no fault of her own, Tanya* (age 50) was in a really tough spot financially. She says she had never been in debt in her life, but then a partner left her with an outstanding loan that wasn’t hers. As the single mother of three children (two of who still live at home), she felt overwhelmed by the ever-increasing debt. “I’m normally really good at budgeting, but I just couldn’t get on top of the debt – especially with all the interest,” she explains. Tanya turned to Pakuranga and Howick Budgeting Service for ongoing advice, where one of their financial advisors suggested she apply to Ngā Tāngata Microfinance for a GetControl Debt Relief Loan. “I was really freaking out, but as soon as I heard I’d been accepted by Ngā Tāngata for a loan, it took all the pressure off – and all the anger that I’d been dumped with this debt. It was awesome,” she says. Tanya elected to pay off $25 a week and has since paid off the loan. “It was manageable with just a small amount a week. And not having all that interest continuing to add up was amazing. I absolutely recommend it to...

Things were really tough for Paula* when she applied for a loan from Ngā Tāngata Microfinance. She had borrowed $3,000 from her bank and hadn’t been able to pay it back due to a change of circumstances, so the bank was planning to foreclose on her home of 23 years. “The bank wouldn’t let me pay the loan off over time – they were going to sell my house,” she says. A single mum in her 40s, Paula had arranged an overdraft with her bank a couple of years ago when she was laid off from her job. There was a seven week stand-down period before she could get a benefit from WINZ and she was really stuck for money. She says she struggled for money before that, but once she lost her job, thing went from bad to worse. On top of that, she hasn’t been able to work since then due to poor health. “On the benefit, there is no extra money. You just can’t get rid of the debt,” she explains. In desperation, and very stressed about losing her house, Paula turned to the Salvation Army. There she talked to a Financial Mentor, who recommended applying to...