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Budgeting help needed urgently for beneficiaries

Budgeting help needed urgently for beneficiary families

National’s Welfare spokeswoman, Judith Collins, says the Government is not doing enough to ensure beneficiaries manage their money.

She is commenting on the case of Aucklander Nga Tuaineiti, a beneficiary who owes $35,259.56 to a finance company for a vehicle worth about $9,000.

“Labour has rejected any attempts to look at the option of smart cards, which would divert benefit money to help beneficiary families manage financially, but has not come up with any new alternatives for families who urgently need budgeting help.

“As illustrated in this latest case, some beneficiaries find it difficult to manage their money and make sound financial decisions. This woman found herself facing a huge debt without realising what she was doing – committing more than half of her fortnightly domestic purposes benefit money to car payments.

“A smart card would help avoid that sort of situation because money would already be diverted into a fund that could only be used for food and amenities. The Government should at least investigate that option.”


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