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Tips for Father figures facing extreme financial pressure

Tips for Father figures facing extreme financial pressure
15-06-23 / Sisanda Ndlovu

Tips for Father figures facing extreme financial pressure

Johannesburg - South African dads are facing mounting debt, as many strive to provide the best life for their families. In a society where financial pressures weigh heavily on families; it is crucial to acknowledge the often-overlooked role of fathers in managing household finances.

This is according to CEO of National Debt Advisors, Charnel Collins, who says that many South African dads are struggling with increasing debt to secure their family’s’ future.

The latest industry insights from the Eighty20 Credit Stress Report for 2023 reveals concerning statistics on South African consumer debt. The Change in Rate of New Defaults (CRND) on all loans has surged by 17.4% compared to the same quarter last year. Credit card debt also witnessed a sudden 20% jump in the rate of new defaults in 2022 Q4, with total credit card balances sitting at about 12% higher than the previous year. Furthermore, unsecured credit and retail sectors experienced distressing double-digit growth in CRND, with increases of 16.3% and 24% respectively year-on-year.

“These alarming figures depict a financial landscape where many South African dads find themselves treading water and struggling to keep their heads above the rising tide of debt,” says Collins.

"First and foremost, living within your means is essential. Avoid spending more than you earn and refrain from making major purchases, such as buying a house or car, before you can truly afford them," advises Collins. Proper financial planning is equally vital and seeking help from a financial adviser can provide valuable guidance tailored to individual circumstances.

“However, the burden of financial management should not rest solely on the shoulders of fathers,” says Collins. She emphasises the importance of collaborating with spouses to create a united front in household finance management. “Working together as a team can alleviate some of the overwhelming pressure faced by dads. Inclusivity and shared responsibility within the family unit are paramount," states Collins.

Collins offers the following tips for all the hardworking dads facing financial difficulties:

  • Have Proper Financial Planning: Embrace the power of planning. Take the time to assess your financial situation, set realistic goals, and create a budget that aligns with your income and expenses. Remember, living within your means is essential for long-term financial stability.
  • Seek Professional Guidance: Don't hesitate to ask for help. Reach out to a financial adviser who can provide tailored advice and guidance based on your specific circumstances. They can help you make informed decisions, plan for the future, and navigate the complexities of personal finance.
  • Collaborate with Your Spouse: Financial management should be a team effort. Engage in open and honest conversations with your spouse about your financial goals, challenges, and responsibilities. By working together, you can share the burden and make joint decisions that will benefit your entire family.
  • Prioritise Financial Education: Knowledge is power. Take advantage of resources and opportunities for financial education. Seek out workshops, online courses, or seminars that can enhance your understanding of personal finance. Empower yourself with the tools and knowledge needed to make informed financial choices.

Father figures can be put under a lot of financial strain in order to support the household. Collins highlights the importance of knowing that there is help in the form of debt review. “In times of financial hardship, a registered and reputable debt counsellor can give the necessary guidance in order to manage your debt,” concludes Collins.

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