February 10, 2021
Moneysmart
(ASIC)
Understand your options and how to get help
If money’s tight, it can be hard to keep up with regular payments like rent, electricity and phone — or unexpected fines. Here are a few simple steps you can take to sort things out.
Problems paying your rent
If you think you’ll have trouble paying your rent, talk to your landlord or real estate agent. Ask about reducing or deferring payments for 30 days until you have a better idea of your income.
Put the request in writing, so you have evidence that you’ve tried to resolve the situation. Use this template letter from Tenants’ Union NSW.
Loans without interest: apply for a Household Relief Loan to pay for rent and utilities if you’ve been financially impacted by COVID-19. Loans are for up to $3,000, have no interest or fees and are repayable over 24 months.
Problems paying bills
If you can’t pay your electricity, gas, phone or water bill, contact your service provider straight away. They will explain your options, such as:
an extension to pay
paying in instalments
Centrelink deductions (Centrepay)
applying for a utility rebate or voucher
If you don’t contact your provider, they may suspend or disconnect your service.
Not paying could also harm your credit score.
If you need a step-by-step guide on what to do, see the National Debt Helpline’s get your bills under control.
Problems paying insurance premiums
If you’re struggling to pay your home, car or health insurance premiums or excess, contact your insurer straight away. Explain your situation and tell them you would like to apply for financial hardship. They may provide assistance to help you pay your excess if you need to make a claim.
Some health insurers are offering premium waivers or suspending memberships for members affected by COVID-19. Some insurers are also delaying or cancelling their 2020 rate increase. Check with your insurer.
Problems paying council rates
If you can’t pay, contact your council as soon as possible. Ask about your payment options, such as:
paying in instalments
paying part or all of your rates at a later time
writing off interest on overdue rates
waiving or reducing your rates if your land revaluation made your rates go up and caused you financial hardship
For a step-by-step guide on what to do, see the National Debt Helpline’s pay your rates.
If you don’t pay your rates, the council could charge you a penalty — usually the interest on the amount you owe.
Not paying could also harm your credit score.
Problems paying fines
If you can’t pay parking, speeding or littering fines, it’s important to contact your state debt recovery agency straight away:
Australian Capital Territory: Traffic fines
New South Wales: Fines
Northern Territory: Fines: how to pay
Queensland: Fines and enforcement
South Australia: Fines: ways to pay
Tasmania: Monetary Penalties Enforcement Service
Victoria: Fines Victoria
Western Australia: Fines and infringements
Ask about your options, such as:
an extension to pay
paying in instalments
Centrelink deductions (Centrepay)
doing community service to work off the debt
getting a caution (for example, if you have a mental illness or an intellectual disability or are homeless)
If you don’t make contact with the state debt recovery agency, they may:
suspend or cancel your driver’s licence or car registration
take you to court
publish your name on a fines recovery website
take and sell your possessions
take some of your wages
register a charge over your land
For a step-by-step guide on what to do, see the National Debt Helpline’s paying fines.
Get help sorting out bills and fines
Talk to a financial counsellor
Financial counsellors offer free, independent and confidential help to people with money problems. They may also negotiate with creditors on your behalf.
Get free legal advice
Community legal centres and Legal Aid agencies in every state and territory offer free legal advice.
Make a complaint
If you’re in financial hardship and your service provider won’t help, you can make a complaint (usually for free).