Get out there - April 2011 |
Welcome to the Get Out There e-newsletter.
It´s National Youth Week from 1-10 April - the largest annual celebration for young people in Australia. Thousands of young people aged 12-25 all across Australia get involved each year. This year´s theme is ´Own it!´ Check out the National Youth Week website for what´s happening during youth week and how you can get involved.
How will you own it? You can start by taking charge of your money and managing your income and spending.
Budgeting
Budgeting is the best way to stay in control of your money. It´s as simple as calculating the amount of money you receive and deducting the amount you spend.
- Think about how much money you have coming in from your allowance or wages, government assistance and grants/bursaries (such as study grants).
- Think about how much you spend on rent or board; bills (phone, internet, electricity); food; work expenses (public transport, lunch, uniform); car costs (petrol, rego, insurance, maintenance); loan repayments; entertainment costs; savings etc.
- The Get out there website has an interactive budget planner that can help in calculating your budget.
- Once you know where and how you spend your money, you can look at ways you can change your spending and saving.
- It is easier to save if you have a goal in mind such as a holiday, or a computer. Think about what you want to do, when you want to do it and how much you will need. Then you can work backwards to work out how much you need to save each week.
Be honest! You might be surprised to find out how much money you spend.
Avoiding credit chaos
Credit - sometimes it might seem like easy money with interest free periods and low repayments, but this is often not the case. Credit may include using a credit card, taking out a loan or using finance options offered by the business you buy from. It is important to keep your credit spending under control.
- Budget for your repayments.
- Research the deal, including all charges, terms and conditions of the credit agreement and understand your repayment obligations.
- Avoid impulse buying.
- Fix a realistic limit for your credit card.
- Try alternatives to credit like lay-by or simply saving for an item.
- Search the ASIC register of credit registered persons to check if the money lender and/or broker is registered.
- Check out ASIC´s new MoneySmart website for further information on making the best choices for your money.
It is illegal for a business to send you a credit card, unless you requested it in writing (or it is a replacement or renewal card for one you have previously requested in writing). If you receive an unsolicited card, report it to the Office of Fair Trading.
Debit cards
Debit cards look similar to credit cards, but they only let you spend money in your account.
They are an alternative to cash, but still allow you purchase items that require a credit card number. They also usually work in ATM´s because they are linked to your bank account.
But be careful, some debit cards allow you to overdraw your account (where your bank balance goes into the negative). Check with your bank about any fees they charge for this.
It is illegal for a business to send you a debit card, unless you requested it in writing (or it is a replacement or renewal card for one you have previously requested in writing). If you receive an unsolicited card, report it to the Office of Fair Trading.
What protections are in place
Consumer credit is now regulated by the Commonwealth Government. The National Consumer Credit Code gives consumers certain protections when they enter into regulated credit contracts, such as loans or credit for personal, household and domestic purposes. For more information, visit the ASIC MoneySmart website.
The Office of Fair Trading is now on Twitter, Facebook and YouTube
The Office of Fair Trading is now using social networking sites to reach our clients and promote our services. Our Twitter channel and Facebook page will provide alerts and supplement the information we publish on our website. You can also visit our YouTube channel to watch the product safety video.
Find us on Facebook and follow us on Twitter.
Stay in touch with Get out there
As you begin the next phase of your lives after school, remember to visit Get out there for information on a variety of topics. Learn about finding the right job, starting university, renting your first place, buying a car or buying a house.
Tell your friends to sign up - Get out there really is the ultimate survival guide for young adults.
Last reviewed 08/04/2011 |
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