It took a couple of months for us to feel the effects of the collapse of our finances thanks to my habit of over-paying bills a by a small amount each month, eventually putting us ahead by a couple of months. Still the clock was ticking and I knew it was just a matter of time before everything was in arrears. It wasn’t that we didn’t want to pay our bills, we just didn’t have any money.
Most companies were happy to work with me to manage our debt. Most were sympathetic and helpful and many have financial hardship policies.
It’s been eight years since we went broke and as traumatic as the experience was, it taught me so much about money and clearly I had to learn about it the hard way. These are the four money products I wish I’d had when I was dealing with my families financial crisis.
1. Kochie’s Money Makeover Challenge
Kochie and Libby know what it's like to struggle financially. With four young children and a business just starting up they have lived just as we all have - scraping by, worried about how to pay for food, school fees, camp and birthdays. I jumped at the chance to review Kochie's Money Makeover Challenge because even though I was doing a reasonable job of managing our finances I knew I could be doing more.
The first thing the challenge taught me was to look at the big picture.
I was managing our money from week to week and failing to plan for the future. By sitting down and listing my goals and how much money I would need to achieve them, I received a huge wake up call about our ability to achieve them. It was time for action.