Debt can be a problem any time of year, but the first few months after the expensive festive period can be particularly tough for families.
To help out, financial experts in Swansea have come up with a survivors’ guide to tackling money worries in the early part of 2018.
Advisors at a free debt counselling service said it was absolutely crucial families had a frank conversation around money and put dealing with finances first at the beginning of the year to get on a surer financial footing.
Tony Quinn, manager of the Swansea West Debt Centre, run by Oasis Church in Gowerton, in a link-up with the award-winning charity Christians Against Poverty (CAP), said: “Money is still the taboo subject, we talk about everything else, but nothing, like nothing, causes friction in relationships like money, or the lack of it.
“With the squeeze on family finances getting ever tighter, it’s important for the sake of your health, happiness and your family life to talk about money.”
Home visits are offered by the city team to people who are saddled with debt, along with ongoing support until people are debt-free.
CAP’s head office takes on the role of negotiating with creditors and draws up a workable budget for each client.
Eight in 10 clients, who are in a relationship, revealed debt had caused arguments, with close to a third of all questioned saying money problems caused a complete relationship breakdown.
Mr Quinn said: “That is why CAP has produced these tips to help people talk about money, and hopefully help people avoid financial heartache.
“Of course for some people these tips don’t work, if that is you and you’re not sure about how to make ends meet this year give us a call today.”
Advice for families in debt
- Find a quiet time at home without the stresses and strains of everyday life to have ‘the money conversation’.
- Don’t talk about money when there are children around, or the mum-in-law has dropped by, or a big bill has just landed.
- Rather than play the blame game, pledge to make it a year where you get on top of the finances together.
- Admit money management can be hard especially when you’re stressed or on a low income.
- Consider that mistakes may have been made, but that this is about looking forward.
- Remember your attitudes to money might be very different - past experiences can shape these but you can play to each other’s strengths.
- Decide on a shared goal you want to aim for, like a day out, a holiday or a new car, or just a “getting back in the black” celebration, which will happen twice as fast if you’re in it together.
- Use one of the many online tools – or book into one of the hundreds of free CAP Money Courses – to begin to build your budget.
- If you have debts, don’t delay in getting help from a free debt counselling agency like Christians Against Poverty, Stepchange, National Debtline, Citizens Advice, Payplan, the Money Advice Service or, if you’re self employed, Business Debtline.
- Make payday the day you review how it’s all going and make adjustments to the budget where necessary.
- Avoid credit wherever possible and begin to save as soon as you can, even if it is a small regular amount.