Combating bad debt in a pandemic.

Like many, Richard lost his employment due to the impacts of the COVID-19 pandemic on the NZ economy. 

With a young family, including a newborn, he can understand the financial pressures people now find themselves under.

Richard has always been passionate about helping others get out from underneath the constraints of personal debt, and now It’s just as important as ever to discuss money matters during the challenges of a pandemic and beyond. Putting together a robust plan to ensure you’re in the best possible financial position for the future is key. 

The fear of meeting face-to-face can often make this difficult, despite lockdown being lifted in NZ.

COVID-19 has provided many challenges to industries and has affected the incomes of many people. The future remains uncertain as we deal with the fallout from adapting to changes brought about by the pandemic, including rising unemployment.

“Not knowing where your next dollar is coming from is beyond stressful. It’s important to not let the fear set in, but focus on what you can control and the changes you can make to put yourself in a better position.” Says Richard. 

Richard wanted to find a way to reach people while in lockdown, while adapting his business to a new way in which people will seek financial advice in the future.

As a registered financial advisor, and head coach of his debt coaching business ‘Nuke Your Debt’, Richard knew adapting to this new environment meant pivoting more towards leveraging technology and video conferencing, whilst finding new ways to increase digital interactions and exposure with existing and potential clients.

“Sometimes, when you know you need help, it’s not often practical to simply pop into an office to speak with an advisor, especially those conscious of, or at risk of getting sick. I’m excited to be able to offer people the ability to discuss their finances from the comfort of home in their pyjama’s, in the car, or even waiting for the bus.” Richard says. 

By applying his experience in banking and finance, Richard knew he could make the greatest impact by helping people manage their finances during uncertain times.  

“Unemployment will be a problem for years to come, as household income is impacted, people will have to begin prioritising their spending. What might feel like a hard decision to make now, when making sacrifices with your spending, may just turn out to be a blessing in disguise”. Says Richard. 

It will be a tough time for many, however Richard is keen to help those who may find themselves in tough situations.

Richard believes free budgeting services offered by community groups are often a good place to start, unfortunately the advice can be limited. 

He aims to help people help themselves with household spending, establishing tailored and realistic financial goals, as they pass through life’s milestones.

Having a realistic budget and a clear understanding of where your money goes is critical, it’s also important to have a plan to pay down personal debt, knowing how to go about it is an issue faced by many, however Richard enjoys helping people navigate this challenge.

This is just one example of how a small business owner has had to find an effective strategy to adapt ways of working, in order for business to thrive and survive. 

Changes like these allow important and useful services to continue, to be available for their customers for now and the foreseeable future. It’s important for everyone to look internally to determine what changes can be implemented in order to protect and future-proof their businesses, livelihoods and personal financial positions during these unprecedented times.