One-third of NSW households spend more than they earn and Wesley Mission’s Mountains outreach co-ordinator Belinda Torrington says this region is no different.
Single parent households and aged pensioners were particularly doing it tough, as well as those who had lost their jobs due to illness, she said.
“Anyone can find themselves in an unmanageable financial situation,” Ms Torrington told the Gazette.
“The reality is there are a lot of homes without a stick of furniture in them in the Mountains because they have sold them,” Ms Torrington said.
Cancer saw Robert Hicks of Winmalee go from holding down a $120,000 job as a tug boat skipper on Sydney Harbour in 2012 to surviving on benefits of $15,000 a year.
Being unable to work meant his debts mounted up and he needed help with his phone and electricity bills to stay solvent, having fallen into the trap of relying on his credit card.
He sought the help of Wesley’s financial counsellor Belinda Torrington at Winmalee Neighbourhood Centre earlier this year and has since met with her four times.
“Most of the time I’ve been able to battle on [but] when you’ve got rego to pay and need to keep the phone going to get work ... well, you feel a bit ashamed.”
Ms Torrington helped him access some of his superannuation to pay off his credit card.
Mr Hicks, 54, who is still having cancer treatment, said he was worried that charities like Wesley Mission were under threat, and said he wouldn’t have survived without their help.
A recent report, Facing Financial Stress, commissioned by the Wesley Mission has called on the state government to provide more support for community-run financial counselling services.
The report showed 38 per cent of NSW households are insolvent with their expenses outstripping their income; 44 per cent of households are in financial stress, which includes being unable to pay bills on time, afford medical treatment or home maintenance and going without meals.
More than one in five respondents indicated financial stress had resulted in physical illness, relationship issues and mental health issues ... and the findings also showed a link between substance abuse and financial stress, the report showed.
“The cost of living has gone up dramatically, electricity, groceries, rent [and] wages and government benefits have not gone up at the same pace,” Ms Torrington said.
Ms Torrington’s encouraging those in financial stress to get in contact with their Lower Mountains Outreach service —which offers free counselling for those who need it — “sooner rather later”. She takes on two new Mountains clients a week and has done so for the last 12 months.
“More and more people are turning to neighbourhood centres, churches and charities to pay their living expenses. People are also getting Centrelink Advances, NIL’s [No Interest Loans] and loans from payday lenders to pay for some of these living costs and sometimes it is coming at a huge cost of 48 per-cent,” the counsellor said.
The Wesley Report says financial stress in households have worsened over the past four years, despite low interest rates. A quarter of households in financial stress are those of middle income earners, who make $52,000-$104,000 a year.
Another Mountains service available to assist those under stress is the CatholicCare Springwood Drop-In Centre in the main shopping street in Springwood.
CatholicCare community development worker Celia Vagg said the current situation had created a perfect storm for financial problems, coupled with the continued needs of bushfire recovery in the area. They see on average 24 people a week for counselling.
“There are a lot of people who really struggle,” Ms Vagg said. “The cost of living pushes up housing and that translates to increases in rents and the level of government support is getting tighter and stricter.”
Ms Vagg said their drop-in centre is open to everyone who needs help from Monday to Thursday from 10am to 4pm (it will also open on Fridays from June 5) with free financial counselling, including problem gambling counselling, on Tuesdays and Wednesdays.
Ms Vagg said they bought the building and are “here to stay” after starting a temporary office after the bushfires. More than 50 per cent of counselling sessions still related to the fires, she said. Ms Vagg said they also offer a specialist at-home service for families or individuals needing support with children under three.
For Mr Hicks however the future is looking a little bit brighter as the last batch of cancer treatment is finishing up this year and he is in the process of regaining his maritime certificates at TAFE.
“I’m looking forward to a better future. My doctor says I look a lot better in person than I do on paper,” he said laughing.
Wesley Mission’s Belinda Torrington can be reached via 4725 9200 or Belinda.Torrington@wesleymission.org.au.
- with smh.com.au
