“A little bit of a breather”: how Lily refinanced her car loan and closed her credit card

A major change to the household budget

Lily works in property management. She had previously saved $45,000 through the First Home Super Saver Scheme and bought a property with her former partner.

After they separated, Lily was contributing to the mortgage while also paying rent for a studio. She had a car loan, a $1,000 credit card and several known expenses approaching. The extra pressure made it a good time to review how those commitments were structured.

Refinancing the car and clearing the card

Lily compared options through WeMoney and refinanced with OurMoneyMarket. At the time, she estimates the car balance was about $10,000. The new loan also included enough to close the credit card and set aside roughly $3,000 for upcoming costs.

She recalls the old car rate being around 9 per cent and the new rate being just over 8 per cent. Her scheduled repayment is about $300 a fortnight, and she voluntarily adds approximately $100 when she can.

The old car finance is now paid out, the credit card is closed and the extra funds remain earmarked for the expenses they were intended to cover.

Gentle support through the process

Lily appreciated having clear guidance while moving through the application. She describes it as a “gentle holding of the hand”.

The new arrangement has given her “a little bit of a breather” during a period of major personal change.

Lily is still managing a mortgage, rent and everyday spending. The refinance did not make those costs disappear, but it gave her one clearer plan for the car, card and immediate expenses.

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Disclaimer: Lily Maher’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.