My Budget's Solution - BANKRUPTCY – I did not find My Budget's solution for me. I rang My Budget because I was concerned about a number of new payments I had to make in the next 12 months and my income had dropped slightly, and admittedly I was panicking . I saw a commercial a while a go and decided to give it a go, I initially rang and spoke to a gentleman who reassured me that my budget was a great solution. He did listen to my concerns and issues and told me that they would have a solution for me. He arranged a phone appointment as I live in a region centre with no My Budget office close by.

The next day I had a lovely chat with their budget consultant who took down my income and expenditures. She also asked my questions like is their anything you want. I said I guess a holiday, new car and computer would be nice in the future, but who wouldn't like that anyway. She ended our conversation and told me that they will call back with a budget solution for me.

After a couple of hours she returned my call and the solution that she offered was to declare bankruptcy in three months if my financial situation wasn't going to improve. This would eliminate my loan and sever the contact with my Telco. I was shocked, I looked at the budget that they offered my and yes I would save a lot of money but some items where way over budgeted for myself, especially gifts for my children. I told her that I was not happy with even considering Bankruptcy but she continually reassured me that it was the best approach to gaining financial freedom. In fact I began to sound like a sell rather than I wonderful service that was advertised. I was constantly reminded of all the wonderful things I can have with this budget. After a while I did turn off a little as I was continually thinking about the Legal ramifications, Credit Score and long term implications of being Bankrupt.

After we finished the phone call I rang an old school mate who is an accountant who told me that going for a Bankruptcy was the worst option for the debt I had. I chatted about what was happening to me with him and he suggested to take it easy, look at the budget yourself and "trim some fat" off of what you are spending. I then jumped on the Governments My Money web site and using most of the information that we spoke about with My Budget, worked out a budget. By doing it myself I won't be saving thousands as per My Budget budget but I won't be bankrupt either. I also rang my Telco renegotiated my phone and internet contract, stopped or modified some of my subscriptions. Things that you would be paying My Budget to do.

My verdict is if you are not in a bad financial position then do not use them. Go to a Lifeline or the Government's My Money website first before My Budget. After the Banking royal commission many financial institutions will listen to you if you are having difficulties and may grant a payment holiday or reduction. My Budget reassures that you can opt out at any time but note there is a $900 set up fee and for myself a budgeted $55 per week admin fee all conveniently worked into your budget. I am happy without a new car, computer or a holiday as long as I am not Bankrupt. I would only use a service like this if it was my last resort.