Thank you for reaching out! We understand this may not have been an easy step, but it’s an important one toward regaining financial stability. Now that your Hardship Care arrangement is approved, here’s what to expect.
What happens to your account
| Your Account Status Will Reset |
If you had overdue payments before your Hardship Care was approved, we’ll reset your account to current (up to date) at the start of your arrangement. As long as you stick to your agreed repayments, your account will stay up to date - helping to rebuild your repayment history.
| A Spending Block Will Be Placed on Your Credit Cards |
To help you focus on getting back on track, a spending block will be applied to all Gem by Latitude credit cards in your name - even if they’re not included in your Hardship Care arrangement. This means you won’t be able to use your card(s) for new purchases during this time.
We know this might be inconvenient, but this is to protect your financial wellbeing – ensuring you don’t add to your debt while you’re working on repayment.
| Fees & Charges During Hardship Care |
Depending on your Gem by Latitude product (credit card, personal loan, or car loan), some fees and charges may still apply. We’ll be upfront about any fees before you agree to the arrangement, so there won’t be any surprises.
How Hardship Care reflects on your Credit Report
| Financial Hardship Indicator (FHI) |
We’re required to update your credit report status to reflect that you have entered a Hardship Care arrangement. Your credit report will show a financial hardship indicator and note that you have an arrangement in place, however it won’t disclose the reason for your arrangement.
This will remain on your report for 24 months from the start of your arrangement. Lenders may consider this when assessing future credit applications. For information on our Privacy and Credit reporting practices, please see www.gemfinance.co.nz/privacy
If you cannot make your repayments and do not enter an arrangement it may negatively impact your credit score.
| Repayment History Information (RHI) |
If you keep up with your agreed repayments, your Repayment History Information (RHI) will show that your account is up to date. This helps improve your credit history over time and demonstrates responsible financial management to future lenders.
Stay in Touch!
- Struggling to meet your Hardship care repayments? Let us know as soon as possible. Missing or late payments could impact your credit report, and your Hardship Care arrangement may be cancelled.
- Situation improved? You can request to exit your Hardship Care arrangement at any time.
- Near the end of your arrangement? If you still need assistance, reach out - we can discuss your situation and explore further support options.
Your financial wellbeing is our priority, and we’re here every step of the way:
| Call: 0800 433 033 (Mon - Fri, 8.30am - 5pm NZST) | |
| Email: nzhardshipcare@latitudefinancial.com |