By Annette Campbell
Like most of us, Michele O’Grady never thought she’d get sick.
She had the career she’d always dreamed of — as a registered nurse — and was working hard to pay off the mortgage on her home and the investment property she’d bought years earlier, as security for her and her son Lonnie, 28.
But in December, 2003, Michele was diagnosed with scleroderma (a tightening of the skin that affects the heart, lungs and kidneys) and Raynaud’s phenomenon (a circulatory problem affected by stress and cold).
And in a tragic sequence of events, Michele’s ill health meant she couldn’t keep working, which in turn created financial problems beyond her wildest nightmares.
The resulting anxiety and stress of her money worries led to an extended episode of depression. And the further she sank into depression, the less she felt she could save herself from financial ruin.
“It was all snowballing and I didn’t know what to do,” says Michele, 51. “Without the help and love of my mother and son and the wonderful advice I got from Financial Counselling Victoria … who knows?”
The first step Michele took to regain control of her physical, mental and financial ill-health was to talk with her GP, who suggested she see a financial counsellor.
“So I went to Financial Counselling Victoria and they helped me negotiate to pay some bills and sort out my finances in general,” Michele explains. “You feel bad, getting into this mess in the first place. But it was being sick that got me into that situation. If I’d been able to keep working, I’d have paid everything off, like everyone else.
Slowly but very surely, Michele is getting her finances back under control, which in turn is helping alleviate her depression. Michele is also meditating and exercising daily, for the sake of her physical and mental health. Now she hopes she’ll be well enough to return to work within the next few months and is beginning to see the light at the end of the tunnel.
And she has some advice for others who may be making themselves sick through financial worry. “I’d have to say the first thing you need to do is talk with your GP about your problems,” she says. “Don’t be embarrassed to say ‘I’m not coping’. Also go and see a financial adviser, to help you put a plan into action. Help is out there.”
How to have happier finances
Jill Com, a financial counsellor with Financial Counselling Victoria, has the following advice for us all. For more info, visit their website: www.financial-counselling.org.au/
Buying on credit can potentially cost you double, with high interest rates and late payment fees. Banks and credit providers are generous in offering automatic increases on credit cards without any assessment — this can cause further debt problems.
If you are going to access credit, then shop around for the best offer. Twelve months interest-free, 24 months interest-free — this is tempting. However, once the interest-free period is over, the interest rate is extreme.
The only way to pay out a mortgage faster is to shop around for a cheaper interest rate or to make higher payments on your current loan.
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