Christmas spending in Australia in 2020 was the biggest on record, with shoppers nationwide splurging over $55 billion throughout the Christmas trade period, a 9% increase on the previous year.

As we head into the 2021 festive period it’s expected this trend will continue, as Aussies look to spend a relatively large portion of their income on presents, parties and holidays that many have been denied during lockdown.

“With their increased expenditure and our high cost of living, I anticipate that many Australians will run into some issues.”

To ensure people are prepared, Lloyd Edge has shared his top tips to navigating mortgage or rental stress during the silly season.

Learn how to negotiate on your mortgage repayments

Although repayments are typically between 20-40 per cent of a household’s take home earnings each month, many think it’s too hard to negotiate.

The first point of call is always to call your lender. But first, do your research. Find out whether new customers are actually getting a better deal from your lender and play the loyalty card.

Call your lender and tell them that you are looking for a better deal and if they have anything on offer. If you’ve been a loyal customer for a while, they might be able to offer you an interest rate reduction for your loyalty.

Seek guidance of a mortgage broker

If your current lender is not willing to budge, mortgage brokers will have access to around 30 or more lenders and can see whether you are eligible for a better arrangement.

They will guide you through the whole process of switching to a different lender and make the process really easy.

If you’re with one of the ‘Big Banks’, it is often the smaller lenders (who are backed by the big banks) that might be able give you a better deal if you switch.