We sometimes need to create a debt in order to get the things we need or let’s face it, the things we may want but can’t quite afford at the time. Your Bank Manager and many financial Gurus will say that as you progress in life you need to improve your credit rating in order to provide access to more borrowing. This is with a view to having the borrowing power to purchase larger things such as a house. A place to live that can also provide us with financial capital in the future. To some, owning such capital is merely a pipe dream. Without a reasonable credit rating borrowing such large amounts is reasonably hard. Or at least it should be which is at the heart of the current problems with Australia’s personal debt issues and outrageous housing costs.
So debt is OK? Debt is OK but only if it is manageable debt. That makes more sense. It’s only when we can’t repay the debt that the nightmare of long-term debt begins. What could be considered a small debt can be amplified by factors like interest or associated penalties to a point where it seems we can never pay it off and failing to meet your payments can also effect your credit rating.
Its not the stereotypical Hollywood scene of a run down, out of the way shop you walk into or some sleazy character in an old tweed jacket behind the counter wearing far too much bling giving you a potentially bad deal on a high interest loan. A potentially bad deal is available from cute furry animals or goofy Wizards or even directly via your phone. Your favourite retailer with their associated credit cards can even bring you financially undone if you can’t meet the payments or if you only ever pay the minimum amount. Debt is never a case of getting it and just moving on.
The relatively new Afterpay app sweeping across retailers may have the potential to keep the Money Bunnies quivering in their burrows and Wally wizards wasting away. Afterpay is similar to the old-fashioned lay-by system in the way it provides for several payments over time. Although there are no direct interest charges and some helpful continued borrowing prevention there are some concerns over the fees charged and penalties as well as the credit code loopholes it avoids. The fact that in only a short space of time the company’s revenue has accumulated some big profits from the penalties and fees charged to consumers unable to meet their payment options. This signals a cautious warning to the welfare agencies.
The Moneysmart website has a great range of detail about how to avoid problems with loan debt including Payday lenders and provides information on borrowing basics and a wealth of other debt issues:
https://www.moneysmart.gov.au/borrowing-and-credit
Afterpay it seems a bit too early to have identified or assessed any associated issues so like all debt options the best thing is to consider your ability to meet the repayments or if you really need to borrow at all.
As there is an app for getting into debt there is also the Affordable SA app that can help you access support to deal with debt and other cost of living issues. For certain essentials such as a fridge low-income earners can access a range of better choices such as a No Interest Free Loan, see the app for details and other great money saving services. Download the Affordable Sa app available on Apple or Google play store or visit the website at www.affordablesa.com.au to get informed or ring the Helpline on 1800 025 539
See more articles about Afterpay
ABC
SMH
Important Update
As of January 1st, 2025 the Affordable SA app will no longer be available. If you're a looking for assistance or to connect with programs and services near you, please refer to our website: affordablesa.com.au, or phone our FREE Intake Line on 1800 025 539 to chat to one of our friendly team who can point you in the right direction.
Affordable SA will still be available as a FREE service via website, where you can find all the services you need, in the palm of your hand.
Free call 9:30am - 6pm Monday - Thursday, 9:30am - 4:30pm Fridays.
50 Ways to Save This Christmas
The holiday season is a time of joy and togetherness, but it can also come with financial stress. From expensive gifts to lavish dinners and decorations, the costs can quickly add up. However, with thoughtful planning, creativity, and a focus on meaningful moments rather than extravagant spending, you can enjoy a magical Christmas without breaking the bank. This guide will show you how to save on gifts, food, decorations, and more, while still making the season special. Whether you’re looking to cut costs on presents, host an affordable dinner, or find ways to decorate your home on a budget, these tips will help you make the most of the holidays without overspending.
Here's some tips to start:
Borrow or Swap Items
Need something special for your Christmas celebration? Borrow from friends or family instead of buying new. Whether it’s a serving dish or decorations, sharing saves money and resources.
Embrace Free Fun
Focus on free or low-cost traditions like watching Christmas movies, driving around to see holiday lights, or hosting a board game night. Sometimes the best moments are the simplest ones.
Remember, saving money this Christmas doesn’t mean sacrificing joy or festive spirit. By planning ahead, getting creative, and prioritising what truly matters, you can celebrate the season without financial stress. Whether it’s through thoughtful gifting, resourceful decorations, or embracing community events, these tips will help you enjoy a budget-friendly holiday that’s rich in meaning.
You can sort Christmas savings tips by category below.
Understanding Electricity Costs and Renewable Energy in 2025
The way Australians generate and use electricity is evolving rapidly, with a significant shift toward renewable energy sources. South Australia, once known for power shortages, became the first major jurisdiction to be powered entirely by solar energy—a remarkable milestone. As renewable energy technology becomes more widespread, you may wonder: 'will electricity become cheaper, and what steps can I take to reduce their bills today?'
The answer is promising: electricity costs are expected to decrease over time, but you can start saving now with smarter energy habits, better provider choices, and a deeper understanding of your rights as a consumer.
Your Rights as an Energy Consumer
As an energy customer in Australia, you’re protected by laws that govern your dealings with energy retailers and distributors. These rights ensure transparency, fair pricing, and access to essential energy services. Familiarising yourself with these regulations helps you make informed decisions when choosing providers and addressing billing concerns.
Choosing the Right Energy Provider
1. Use Energy Made Easy
The Energy Made Easy website is a free government service that allows households and small businesses to compare electricity and gas plans. Simply input your details to view a range of offers that suit your energy usage and location. You can also contact them directly at 1300 585 165 for assistance.
2. Key Factors to Consider
When evaluating energy plans, don’t focus solely on price. Keep these factors in mind:
- Contract Length: Are you locked into a long-term agreement, or can you switch plans easily?
- Fees and Discounts: Look out for hidden fees or discounts that may expire after a set period.
- Special Deals: Some plans offer incentives like sign-up bonuses or rebates, but read the fine print to understand long-term costs.
3. Time-of-Use Tariffs
Did you know the time you use energy can affect how much you pay? Time-of-use tariffs mean energy costs vary depending on peak and off-peak periods. Adjusting your habits, like running appliances during off-peak times, can lead to substantial savings. In South Australia, off peak times for residential is 10am - 3pm.
4. Specific Plan Types
Certain plans may cater to your unique situation:
- Smart Meter Plans: These allow for detailed tracking of your energy use.
- GreenPower Plans: For those committed to renewable energy, these plans offset your consumption with sustainable energy sources.
- Solar Energy Plans: If you have solar panels, look for plans with competitive feed-in tariffs.
- Regional Plans: Some plans are better suited for urban or rural areas, depending on infrastructure.
Reducing Energy Usage to Lower Bills
One of the simplest ways to save money on electricity is to use less of it. Conducting a home energy audit can help identify energy inefficiencies and opportunities to save. You can conduct this audit yourself by borrowing a free Home Energy Audit Toolkit from your local library.
Living Areas
- In Summer: Close windows, doors, curtains, and blinds during the day to keep the heat out. Use fans instead of air conditioners when possible, and if using air conditioning, set it to 26°C.
- In Winter: Seal draughts by closing windows and curtains. Set central heating to 18°C.
- Lighting: Switch to energy-efficient LED lights and turn them off when not in use.
- Standby Power: Switch off appliances at the wall to eliminate standby power usage.
Kitchen
- Ensure adequate space around your fridge for ventilation and check that its seals close firmly.
- Cover pots and pans when cooking to retain heat and reduce energy use.
- Only run the dishwasher when it’s full.
Bathroom and Laundry
- Wash clothes in cold water whenever possible. If using hot water, set it to 60°C.
- Dry clothes on a line instead of using a dryer.
- Install low-flow showerheads to reduce hot water usage and aim for showers no longer than four minutes.
Accessing Financial Help for Energy Bills
If you’re struggling to pay your energy bills, financial assistance may be available. Options include:
- Temporary or ongoing bill relief through government programs.
- Guidance from us at Affordable SA, call us today on 1800 025 539.
Additionally, explore our Utilities Programs listed on Affordable SA, which provide tailored solutions for reducing energy costs and managing bill payments.
The Future of Renewable Energy and Costs
As renewable energy becomes the backbone of Australia’s power grid, the overall cost of electricity is projected to decline. Solar power, wind energy, and advancements in battery storage are paving the way for a greener, more affordable future. Programs such as GreenPower and feed-in tariffs for solar customers offer opportunities to actively participate in this transition while saving money.
However, the key to maximising these savings lies in understanding your energy consumption and making adjustments today. By selecting the right provider, using energy-efficient appliances, and tapping into available support programs, you can enjoy both immediate savings and long-term benefits as Australia transitions to a renewable energy future.