Financial hardship is when you’re willing but unable to pay what you owe because of unexpected events or unforeseen changes that impacts cash flow. For example:
- Changes to your income or expenditure expenses
- A change to your employment status, such as job loss or reduced work hours
- A significant life event, such as a relationship breakdown or death in the family
- You become injured or sick
- There is an emergency event or natural disaster
If you’re experiencing any of these events, or other reasons for financial hardship, you’ll be expected to reasonably recover your financial position once appropriate arrangements are made.