A Fin24 user is paying off a loan and has credit card debt, yet she needs to save for a car. She writes:
I am paying off a loan of R30 000 in instalments of R1 300. I took out the loan last year.
I also have credit card debt of R11 000 and I am paying it off in instalments of R700.
I need to save for a car, but I need to know what I could do to improve my finanaces and to reach my goal of buying a car.
Renee Marais, an independent debt counsellor (NCRDC1780) responds:
If you are not in a position to pay off your debt in terms of the current instalments, you may approach a debt counsellor.
The debt counsellor could reduce the monthly debt instalments so that you pay off your debt over a longer period of time.
This could put you in a position to pay for current essential living expenses.
As soon as you have paid off your debt, a debt counsellor issues you with a clearance certificate that will enable you to apply for credit, for example, buy a car.
If you are able to service your debt, but you want to start saving, you will need to look at your budget and restructure your budget.
There are many ways to do that. Reduce your monthly spending on unnecessary expenses like magazines, fizzy drinks, buying lunch.
Instead take your own lunch to work and drink water.
There are many examples of how to do a budget and stick to it. Any good debt counsellor will also be able to assist you in restructuring your budget for a minimal fee.
It is also a good idea to open a 30-day savings account. These offer better interest and you can deposit an amount every month before you start using your income.
Lots of the big banks have very good programs to assist you with saving.
Please go and see one of their specialists and find the right savings program that suits your lifestyle.
You can also see a reputable financial planner to assist you with sound advice regarding investments and planning for your retirement.
You can start paying more money towards the credit card and loan to get out of debt quicker.
To search for a good debt counsellor go to www.theDCI.co.za or www.NCR.org.za.
- Fin24
Do you have a pressing financial question? Post it on our Money Clinic section and we will get an expert to answer your query.
Disclaimer: Fin24 cannot be held liable for any investment decisions made based on the advice given by independent financial service providers.
Under the ECT Act and to the fullest extent possible under the applicable law, Fin24 disclaims all responsibility or liability for any damages whatsoever resulting from the use of this site in any manner.
I am paying off a loan of R30 000 in instalments of R1 300. I took out the loan last year.
I also have credit card debt of R11 000 and I am paying it off in instalments of R700.
I need to save for a car, but I need to know what I could do to improve my finanaces and to reach my goal of buying a car.
Renee Marais, an independent debt counsellor (NCRDC1780) responds:
If you are not in a position to pay off your debt in terms of the current instalments, you may approach a debt counsellor.
The debt counsellor could reduce the monthly debt instalments so that you pay off your debt over a longer period of time.
This could put you in a position to pay for current essential living expenses.
As soon as you have paid off your debt, a debt counsellor issues you with a clearance certificate that will enable you to apply for credit, for example, buy a car.
If you are able to service your debt, but you want to start saving, you will need to look at your budget and restructure your budget.
There are many ways to do that. Reduce your monthly spending on unnecessary expenses like magazines, fizzy drinks, buying lunch.
Instead take your own lunch to work and drink water.
There are many examples of how to do a budget and stick to it. Any good debt counsellor will also be able to assist you in restructuring your budget for a minimal fee.
It is also a good idea to open a 30-day savings account. These offer better interest and you can deposit an amount every month before you start using your income.
Lots of the big banks have very good programs to assist you with saving.
Please go and see one of their specialists and find the right savings program that suits your lifestyle.
You can also see a reputable financial planner to assist you with sound advice regarding investments and planning for your retirement.
You can start paying more money towards the credit card and loan to get out of debt quicker.
To search for a good debt counsellor go to www.theDCI.co.za or www.NCR.org.za.
- Fin24
Do you have a pressing financial question? Post it on our Money Clinic section and we will get an expert to answer your query.
Disclaimer: Fin24 cannot be held liable for any investment decisions made based on the advice given by independent financial service providers.
Under the ECT Act and to the fullest extent possible under the applicable law, Fin24 disclaims all responsibility or liability for any damages whatsoever resulting from the use of this site in any manner.