FERNWOOD FITNESS - PULSE eMagazine - Issue#7 - Flipbook - Page 57
Making interest only
payments
This keeps payments low
(which is less than the principal
and interest combined). It can
make a loan more expensive
though in the long run. A fixed
loan For a short period (1- 5
years), repayments stay the
same every month or fortnight
for example. Having fixed
costs makes budgeting easier.
Remember to always
check the costs and
fees, such as early
repayment penalties, as
these might outweigh
the benefits of a
strategy or change.
Getting the balance right
Striving for a balance between financial security and
other aspects of wellbeing is essential.
Understanding your finances, setting goals,
budgeting, saving, and seeking professional advice
when needed can all contribute to better financial
wellbeing, which, in turn, supports overall wellbeing.
It’s important to recognise that wellbeing isn't
solely dependent on financial circumstances.
Emotional, social, physical, and psychological
factors also play crucial roles.
© Otivo (Map My Plan Pty Ltd ABN 47 602 457 732, AFSL and Australian Credit Licence no. 485665, trading as Otivo). The
information provided in this article has been written by a qualified relevant provider, is current as of August 2023 and is for general
educational purposes only. The content has been prepared without taking into account your objectives, financial situation or needs.
Because of this, you should consider the appropriateness of the information against your own situation and needs before taking any
action. Sources: Our research on The Financial Fitness of Working Australians; The Financial Stress of Australian Workers, and
Financial Stress in a Pandemic.