Help available to deal with short-term financial issues

E-Funding, a small, interest free, emergency money source has just been launched by Personal Money Coaches, and by Foxton Districts Budget Service for its clients.

Sponsored by Westpac, Personal Money Coaches have spent many months working with Westpac, designing a programme to help folk who find themselves in urgent need of a small loan.

The main function of Personal Money Coaches is the help people improve their financial capability and they are contracted to the Ministry of Social Development to work in this area.

The Foxton District is unique in that it has no banking facilities and no public transport.

This means that every family, no matter its financial situation, needs a motor vehicle and has to meet the expense associated with vehicle ownership.

Through their work with their clients, Personal Money Coaches found that one of the areas that causes financial challenges and possible distress is the amount of interest charged to those who can least afford it.

For the many members of the community who are on a fixed income, unexpected expenses like new tyres for the car, or the need for a plumber or other tradesperson can be a challenge.

Sadly, there are organisations who will happily lend money to the needy and charge high rates of interest.

It often looks as if the greater the need the higher the interest.

Personal Money Coaches are, through organisations such as Nga Tangata Microfinance and Newtown Ethical landing, able to apply for interest-free loans of up to $3000 to $6000 for their money management clients.

These loans can be used for asset building or debt relief.

However, there was an area where small, short-term loans at no interest were not available.

E-Funding has been designed to fill that gap. Personal Money Coaches’ E-Funding clients can borrow up to $500 to be repaid over the next six months at no interest.

Of course, they work with their clients to be sure that they can afford the payments.

Personal Money Coaches support the adage: “If you are in a hole, it is wise to stop digging”.

Personal Money Coaches are at 10, Avenue Rd, Foxton, 4814. Phone 06 363 6684 or 027 623 8077; Email — fox. budget@xtra.co.nz.nzherald.co.nz