Cash loans problems

Waimarino Bulletin, Volume 6, Issue 262, 8 November 1988, Page 14

Cash loans problems

Many Waimarino families are getting into trouble with small cash loans and hire purchase repaymcnts, according to the Budget Advice Service. They have helped several people (this year) who have fallen behind in repayments. The Waimarino Budget Service say that some families are borrowing money at high interest rates just to pay bills, while others need to borrow for special events such as travel to a tangi. Some of these people have no hope of being able to keep up rcpayments, but there are some loan companies who will still lend these people money. The Waimarino Budget Service says that when thc family can't meet a rcpayment the possessions they have listed as security are taken by thc loan company and sold. They say some people are getting into trouble with hlre purchase when redundancy hits the family income.

In this situation people can find that even after their hire purchase video or car is reposscsscd they still owe the company money. Often when the shop sells the repossessed goods they do not get enough to cover the interest and the reposscssion costs owed. People need to know

what they are committing themselves to and need to be sure about what they can afford to repay. Anyone can get advice on budgeting, or on whether or not they should go ahead with a loan, from the Budget Service of the Community Advice Service, 40 Queen Strcet, Raetihi, Phone 54-834.