In the current uncertainty surrounding coronavirus, cash flow management has never been more important. 

If you have a home loan, personal loan, car loan or credit card debt, there may be ways to save money on your repayments as well as saving money on the interest you’re paying. Those savings could help with bills, or even be used to salary sacrifice into your super and capitalise on the market trading at a lower price. 

If you would like us to refer you to a licensed finance specialist, please let us know. We work with several companies that can provide our clients with a free, no-obligation mortgage and debt review to make sure you’re not paying more than you need to.

They can look at: 

  • Strategies to help you prepare for a possible job loss, redundancy or business downturn. 
  • Negotiating the lowest rate possible with existing banks or refinancing to a lower rate to save money on repayments and reduce interest payable.
  • Many lenders are offering really generous cashback offers of between $2,000-$4,000 when refinancing, so if you are already doing it tough, or are about to, having a lower rate and a cash incentive could make things easier. This could be a better option for clients considering drawing from their superannuation savings.

Don’t have a mortgage or have built up smaller personal debts which are stressing you out?

A debt consolidation loan can help if you want to consolidate your debts into one easy to manage personal loan. A finance specialist can discuss options for debt consolidation loans with no repayments and no interest charges for the first three months. This could be a better option than drawing from your superannuation savings.

I want to defer my mortgage repayments.

In response to worsening economic conditions due to the coronavirus outbreak, Australia’s major banks will be allowing home loan customers to defer their home loan repayments for up to six months. This option is worth considering before drawing on your superannuation savings.

This is just one of several measures introduced by the big banks to help households weather the current downturn. Keep in mind, in many cases unpaid interest during this period is capitalised, meaning it will be added to your outstanding loan balance. When you resume your repayments, the principal you’ll be paying off will have increased.

For any questions or for more information, we can refer you to a specialist. We are not licensed to offer credit advice, so if you would like to go through your refinance options in more detail, please let us know and we can refer you to a licensed specialist in this area. As super specialists, if refinancing produces surplus funds, we can also show you how to use the extra cash to boost your superannuation.