Financial debt clean up

Client: Clare

What were their challenges:

Clare had previously received bad financial advice and was receiving a compensation payment. Current investment advice implemented had not achieved her long term goals. From her previous financial advisery firm she was passed on from adviser to adviser yearly and not properly serviced for the high fees they charged. She had also accumulated high credit card debt as a result of advice not tailored to her specific situation. Clare is self employed so needed provisions for down times or work breaks.

What did they overcome:

Trusting your financial adviser is key. Clare learned to trust in my financial advice and now has a plan that covers her whole situation. By stopping the accumulating credit card debt and recognising the large expenses in her budget which when reduced helped her save more.

Once the plan had been implemented she was able to sleep better at night not worrying about her large investment debt and got to her property purchase goal faster than she could have hoped or expected.

How did I help:

Initially, we put in place a cashflow strategy that aligned with her budget and provided information tracking on how she was doing each month. This kept her on track and got her credit card paid off each month in full.

We eliminated her outstanding credit card debt and dissolved the unsuitable investments to give her a clean slate.

Creating a regular savings plan and the establishment of insurances that were more tax and cashflow effective set her back on track. This cleared the path to set her personal financial goal to purchase property and calculated the servicing costs.

We are looking to facilitate a new home loan later in the year.

What did they learn that I can share:

Doing the simple things consistently well can make a big difference in the long run. While growing her investment was important, cashflow & budgeting was the key to her financial management with being self employed. Tax strategies should be secondary not the primary reason for choosing an investment.

I’m the project manager for my client’s finances. I make sure every area is being worked on and bring in support & experts as required.