Dean’s story: working hard to get ahead

Dean* had been seeing a financial mentor for a number of years, because he was living on the unemployment benefit and was unable to make ends meet. Dean and his partner were using the equity in their home to cope with the shortfalls in their budget, and needed to get out of this cycle as he was effectively ‘borrowing from his future’.

Dean was looking for ways to increase his income so he could seek work in another city. He decided to do this through improvements to his home, so he could rent out a room. This would increase his income, as well as making it possible to relocate elsewhere to find work if necessary.

Dean’s financial mentor sat down with him and helped him create an accurate budget, which proved very valuable for Dean’s long-term financial planning. He also helped him apply for an interest-free GetAhead Asset Building Loan from Ngā Tāngata Microfinance, so that he could pay off the renovations over a period of two years.

After receiving the GetAhead loan, Dean struggled financially at first, as the renovated room took much longer than anticipated to complete. However, within a few months, he was starting to get ahead and was able to rent out the room. His financial mentor helped him revise his budget and he now has a surplus of around $100 per week – which means he can start to save money for bills and rates, rather than borrowing it.

Dean’s initiative and hard work, supported by having a safe, fair and affordable GetAhead loan from Ngā Tāngata Microfinance, means he now has better control of his finances … and his future.

*Note: all names including those of the loan companies have been changed. Any re-publishing of these case studies need the permission of Ngā Tāngata Microfinance Ltd.