Are you prepared if your circumstances change?
In the past few weeks the papers have been filled with doom and gloom. The mining boom is over and thousands of people are facing redundancies not only in the mining sector but in sectors that flow in to this industry.
If you own your own home, you are probably feeling a little anxious as the economic climate looks less rosy but there are steps you can take to safe guard your home and your future.
Firstly, if you are facing a redundancy, it is a good idea to talk to your lender sooner rather than later. They are often happy to chat with you and there are options other than simply getting behind on your mortgage. Some lenders offer a “repayment holiday” product that can be useful when you have no income coming in. It is also worth looking in to any insurance that you may have taken out with your mortgage. This is often referred to as Loan Insurance and can be used by the bank if you lose your job. Your lender will be able to assist you with all of your enquiries so talk to them now.
If you are concerned or worried about the stability of job, now is a good time to start cutting back. This should mean undergoing a review of all of your outgoings and seeing where any savings can be made. These savings should be set aside in case they are needed down the track.
As your mortgage broker we are able to assist you with a number of options. We can look at consolidating your home loan with any other debt, thereby reducing the amount you need to repay each month. We can also run a home loan health check to ensure you have the best rate.
Consider talking to us before you find out that you are made redundant as you will have more options than when you are unemployed.
The most important thing to remember is that you are not alone. You might think your lender does not care about your circumstances but we find they are often willing to work with you to help you keep your home. Remember, the earlier you take action, the higher the likelihood of a positive outcome.
At FinanceCorp, we are here to help. If you have concerns about your job or home, talk to us and let us explore your options now rather than down the track.