Video: Tran struggles with mortgage repayments

Video keeping on top of your mortgage

Video transcript

I was really careful when I bought the flat. It was an investment in my future and I bought it at a price I could afford. But I didn't have much room to move if something changed.

I didn't think interest rates would rise so soon. We've had two increases in the past 12 months and they reckon there will be more. Now I'm having trouble sleeping at nights. I'm worrying about keeping up the repayments on my mortgage.

I haven't missed a payment yet, but I've been putting all my other expenses like power and water bills on credit. Both my credit cards are maxed out and last month I had to borrow $800 from my uncle to pay the registration on my car. I really have to pay him back before my parents find out.

The only condition my uncle made was I had to get help from a financial counsellor. For me, I don't like the idea of speaking to a counsellor. Sounds like a lecture about good financial management and I do understand money, it's just right now, I'm losing control. 

I checked out the MoneySmart website. Using the mortgage calculator, I could see what another rate rise was going to do to my budget. But at the end of the day I didn't want to bump into my uncle and have him ask me if I've talked to a financial counsellor yet. It seemed easier to just do it.

There was a locality guide to financial counsellors on the MoneySmart website. I made a call and set up a meeting. Turned out to be my best move since talking to Jenny at my cousin's wedding. But that's another story.

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Last updated: 09 Aug 2016