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How to manage your money to avoid extra financial stress during the COVID-19 pandemic

Hi there – how are you doing? Are you okay? It’s a pretty strange time right now and at Libertine Consultants we understand that most people are under a lot of stress.

The impact of the COVID-19 pandemic that is sweeping the globe seemed a far-off threat until it reached our shores and became a stark reality in recent weeks. The moment when President Ramaphosa announced the state of emergency on live air on Sunday 22 March will definitely be etched in our minds as a nation forever. As we prepare to potentially face even more stringent measures to control the spread of the disease, it can seem impossible not to panic. However, at times like these it can be helpful to focus on the things you can control – like your finances.

Here are a few ways to manage your money to avoid extra financial stress during the COVID-19 pandemic:

date: 22/03/2020Author:

Take advantage of payment holidays

Certain banks, such as Standard Bank, have announced that they are giving small businesses access to ‘payment holidays’, which means they won’t have to make any repayments on existing loans for a certain amount of time. If you operate a small business that is suffering due to the effects of increased self-isolation, get in touch with your bank to find out how they can assist you in this regard.

Address your debt sooner rather than later

If you are currently just making ends meet and just covering your debt repayments, it may be worth your while to get in touch with a Libertine Consultants representative. We provide remote consultations via the phone and will be able to provide advice on restructuring your debt if you are concerned that you may not be able to make all your payments if your income stream should shrink somewhat in coming months.

Freeze any expenses you are able to

If you currently have a mutual bond or a personal retirement annuity of which the instalments are deducted from your account via a debit order, get in touch with your broker to see if there is a way to halt these payments for a while, until we have a better understanding of what lies ahead of us. These are extraordinary times, and it calls for extraordinary measures, so reach out to your financial service providers to see if they are able to help you to ease the burden.

When you spend, spend wisely

If you are self-isolating at home, it may mean that you have more time on your hands than you would normally have. At times like these, it can be tempting to shop around online and buckle under the pressure of clever advertising to buy things you don’t really need. Instead, curb your day-to-day spending as much as you can – keep your funds available for basic essentials like food, fuel, electricity and data if you need the internet to work from home.

There you have it – a few helpful ways in which you can manage your money to avoid undue financial stress as our government works to address the effects of the novel Corona virus. Stay safe, self-isolate as far as possible and take care of your health. Mzansi, we are stronger together.

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