"It was killing me": how Annabelle got back on top of her money after divorce

Annabelle earns good money, that was never the issue. "It's not really about what I make. It's more about having so many different financial commitments." Between debt repayments, private school fees, sport, and kids who've hit the age where everything needs a logo on it "$150 for a jacket. It just kills me" she felt like she was doing everything right but the debt never went down. "I couldn't keep up."

After the divorce

"I went through a divorce a few years ago," she says, "and that was the point that I was like, I need to get my finances together, get it all sorted, and re-establish my life."

Ask her to rate the stress out of ten? "If I have a plan, it's probably like a 5 out of 10. If I don't, it's like an 11 out of 10. With kids, you need to have a financial plan, because I've got private school fees and all sorts of things."

Coming out of the divorce she didn't have a plan. She had two credit cards and a personal loan. One of the cards was, she says, was "through the roof". "I reckon it was like 200 a month on one, and then another 100 or 150 on the other, just to meet the interest." $300 or more a month, and the balances were barely moving.

She'd never used a budgeting app or a tracker of any kind. Even her super had drifted out of view. "I didn't really even focus on that."

She downloaded WeMoney and connected her accounts, and there it all was on one screen. The credit cards, the loan, the super she'd stopped looking at. "I like the way it's categorised," she says, then laughs. "It's stupid, but I like the colours."

The loan

She'd had the app a while when she noticed it was showing her consolidation options based on her credit history. "It actually gave me a little bit of confidence, because I was like, oh my God, my credit history is probably bad. So when it started to give me options, I was like, oh, this is good. It actually knows. It's going based off current information."

She'd never consolidated anything before. "Didn't know much about it." The two cards were carrying roughly $6,000 and $4,000. She picked the option with the lowest interest rate on the screen.

The application asked for a few documents, which she sent through. "It was actually approved in like a day" The lender rang her, which she hadn't expected. "You know how banks take days to process stuff? They didn’t. They were on top of it straight away. I just didn't expect it to be so easy, because banks are difficult."

She's blunt about the trust question when it comes up. "With banks and any financial providers, I don't trust them. You're kind of exposed a lot. Whereas I don't feel like that with [WeMoney]. It figures out your gaps, and then it gives you an option on how to sort it out."

The two credit cards became one repayment of $118 a fortnight. "Which is nothing compared to what they used to be.“ She says, “It's alleviated a lot of pressure. It's a smaller amount, so less stress, and I can put the money somewhere else."

She was glad to see the end of the credit cards themselves, too. "I just don't want the burden of those multiple credit cards."

Where she's at

Annabelle has since remarried. Next on the list is a house deposit, in a Melbourne property market she calls "just a joke". She keeps an eye on her credit score in the app. "The more money you make, the more money you spend as well. So this is why I need this sort of stuff. I've got to keep myself in check."

When asked whether she'd point a friend towards WeMoney, she says. "It sounds corny, but it actually gives you a little bit of hope. It's so personal, but you've got the information there, and it almost helps you pick the right thing. It's the only thing I've ever used where I've had everything in the forefront, but I haven't felt like, oh my God, my life is a mess. Especially after a divorce. I can see what's going on. I have a plan."

See what one repayment could look like for you

If your repayments are scattered and it feels like the balance never moves, it can help to see the numbers in one place. Try the WeMoney debt consolidation calculator for an estimate of what a single repayment could look like, then create a free WeMoney account to get a view based on your actual situation.

Disclaimer: Annabelle’s experience is her own and is not a guarantee of a similar result. The information in this article is general in nature and was prepared for information purposes only. It should not be considered financial advice and does not take into account your objectives, financial situation or needs. Consider whether it is appropriate for your circumstances and seek independent advice before making a financial decision.