Client Stories Topic: Debt and rebuilding credit

Tessa’s journey from credit issues to manageable car loan

Life can be lonely and stressful as a solo mum without family around, particularly when things go wrong. Working with Good Shepherd helped me feel like I had someone in my corner.

Now I’m working on building from strength to strength for myself and my kids.

This is Tessa’s story, edited to keep her from being identified and to help you read. Quotes are Tessa’s own words. Names have been changed.

Before I connected with Good Shepherd, life felt a bit like an uphill battle. As a solo mother of three, I was facing financial struggles without any family support to lean on.

“I felt really alone and desperate and in a corner. I was struggling with a lot of other things, not just my finances, as a solo parent. Life was in a dark place.”

It wasn’t until my car was on its last legs that I found out scammers had been using my account, which completely tanked my credit score. It was a nightmare that took several months to sort out. I can’t begin to describe the anxiety I felt every day, driving an old car that could break down at any moment. I needed a new car badly, but my credit score made it nearly impossible to get a car loan from a traditional lender.

“I was also really worried that if I was accepted somewhere how I was going to pay the interest. Some companies advertised saying they would help, but the interest rates were just insane.”

I first heard about Good Shepherd through a Facebook group called “Mums on the benefit.” Women like me shared stories of how Good Shepherd had helped them without judgement. I did my research and decided to give it a shot. What drew me to Good Shepherd was their Christian values, their genuine care for people and their commitment to thoroughly understanding each applicant’s financial situation. It was a relief to know they wouldn’t just look at my credit score and dismiss me. I’ve been through a lot in my life. As a single mother on a benefit with no family support, I’ve faced a lot of stigma and tough deals — but my experience with Good Shepherd was different.

“I applied for finance before, and it was a horrible feeling. It felt like they were there to make money off of me… It was so different with Good Shepherd. I imagine it would be more like how a family member would treat you, where they were seeing how they could help you.”

Working with Good Shepherd was a game-changer. They gave me a loan to buy a car, and the impact was immediate. My constant anxiety started to lift. Having a reliable car gave me peace of mind and started to make everything easier. But it wasn’t just about the car. It was about how Good Shepherd made me feel — respected, uplifted and hopeful. By going through my finances with me in detail during the application process, it showed me I could not only afford the loan, but I could also trust myself to manage it responsibly.

“It gave me a strong feeling of hope because they looked really closely at my finances, and they could see that I could afford it. It really made me feel really good. It gave me a renewed outlook on humanity in general.”

My financial struggles haven’t disappeared, but having a functioning vehicle has made a huge difference. I’m proud to say I have been successfully paying it off too. There are still tough days. I had to put my work on hold because of burnout. I also worry about potential mechanical issues with the car — but I’m managing. It feels good to know Good Shepherd will be there if anything else goes wrong.

I have big hopes for the future. I want to continue to heal from the trauma of the past, build resilience and find work that fits my family’s needs and my values. Ultimately, I dream of moving off the benefit, making enough to take care of my family, and achieving a healthy balance between work and home life. I don’t want my kids to miss out on anything.

“I’m hoping to be building from strength to strength. I want to heal and grow stronger.”

Abbie plans for a debt-free life after economic harm

Facing my finances and past head-on wasn’t easy — but with practical and empathetic support, it freed up my life again.

Today I’m lighter, more confident and planning for the future. I’m proud to be rebuilding a secure and happy life for me and my son.

This is Abbie’s story, edited to keep her from being identified and to help you read. Quotes are Abbie’s own words. Names have been changed.

I had just come out of a string of abusive relationships, one of which left me in significant financial trouble by taking out loans in my name that he never repaid. When my car broke down, I was buried in debt with no credit and no real support to help me through.

Reaching out to Good Shepherd was one of the best financial decisions I ever made. When I first got in contact, I was hoping to get a loan for a car — but I ended up getting so much more.

Once Good Shepherd’s loan team heard more about my experience, they put me in touch with Charlotte in their economic harm team. Her support was beyond anything I could have imagined. Charlotte reached out to all my creditors and negotiated with them, managing to erase nearly $12,000 worth of debt.

The process did bring some challenges. It was long-winded, with a lot of paperwork and financial details to sort through. At times, I wasn’t sure if I’d be approved for the loan because of all the debt I was carrying. The process also forced me to face my finances — and the aftermath of those abusive relationships — head-on and confront things I had been avoiding.

“I had been hiding from it with my head in the sand, which is what you do when you are completely overwhelmed. It was a very hard time — but when the loan came through, the relief that I felt. Everything was worth all the work.”

I’ve always found it hard to ask for help, especially after everything I’d been through. But Charlotte was incredibly understanding. She had been through a similar experience, which made things easier. She was always there for me, checking in with updates as she worked hard behind the scenes to clear all those debts. It’s hard to explain how important it felt to have someone who genuinely cared about my situation. Charlotte didn’t judge me but instead helped me turn things around.

“Who was this amazing person who came into my life at the right time?…I felt completely blessed.”

There were some immediate changes in my life after working with Charlotte and Good Shepherd. It was such a relief to clear most of those debts and to have a good working car again. It was also an important starting point for a life that felt like my own again.

“I said to [Charlotte] that she came into my life and helped me remove those awful exes in my life bit by bit. I feel freer. I feel more ordered. And that’s a good and secure place to be in.”

I haven’t missed a payment with Good Shepherd yet, and I’ve been able to increase my payments too. My finances are much more in order. I no longer feel burdened by the debts that once seemed impossible. I know exactly what I owe and what’s coming out each month. I finally have the ability and confidence to save and make decisions I couldn’t have made before.

My son has a birthday coming up. I’m able to afford a little birthday party. That’s a huge shift for us, both financially and emotionally. It feels so good to be able to contribute to school fundraisers and events — things that may seem small to some, but make a huge difference to me.

“[My son] had photographs taken…that were beautiful. I was able to buy four of them. These sorts of things make an impact on you and him and your parenting, and make your child feel valid too.”

I even just bought a self-propelled lawn mower, something I have managed to save up for. It wasn’t a huge expense but the ability to make that purchase was something that felt out of reach before.

I’m feeling so much more stable these days. Money is still tight, but I have enough to live — and I get to enjoy precious time with my son while he’s still young. I don’t spend on things I don’t need. I’m proud of that. But I can afford to take myself out to dinner every now and then without too much stress. I can just enjoy the moment.

Looking ahead, I hope to be completely debt-free in five years. I want to have a steady income and a routine that supports my family. I’m also thinking about going back to study, possibly in healthcare, which feels like the right path for me based on my own experiences with injuries. I want to help others the way I’ve been helped. In the meantime, I am thankful for where I am now. Good Shepherd’s support has made such a big difference in my life.

“I’m very grateful…It was just at such a turning point in my life. No actually, this whole thing was the turning point at a really tough time.”

Juliette’s story about dealing with debt

I’d love to find a house where the children can have their own bedrooms and go to a good school. I’m keen to finish my studies and pursue a career in nursing.

My partner’s physical and financial abuse took a real toll on me. My kids and I can’t rent a house or buy a car because of the debt he took out in my name.

This is Juliette’s story, edited to keep her safe and help you read. Quotes are Juliette’s own words. Names have been changed.

I was with Steve for ten years, and I left the relationship ten months ago.

Before we got together, I was happy and financially independent — feeling proud of what I had achieved in my work and studies after doing some level four certificates to further my career in the disability sector.

“Nothing is ever perfect, but life was pretty good. I had my own finances. I had been working since I was 15.”

Steve and I started seeing each other and things were going ok. We had been together for just a month when I became pregnant. This felt like it sped things up and we hadn’t gotten to know each other very well yet. Our relationship was fine until I was eight months’ pregnant and on maternity leave, when he hit me for the first time.

I was the main income earner and only stopped working to go on a benefit for a short time after having each of my two children. His mental health was not good, so he chose not to work and stay at home with the kids instead. He would guilt trip me about having to be a stay-at-home dad, and insisted I buy him gifts and let him spend whatever money he wanted on himself. His physical violence continued through the course of our relationship.

He paid close attention to my earning and spending and made me ask permission before I bought anything. I was earning a good wage so couldn’t understand why there was often less in the bank account than I expected. We relied on food parcels and used layby and Afterpay to buy clothes for the children.

He bought a car on hire purchase without me knowing. He put the car in my name and never made payments on it. He also used my bank card to buy what he wanted without my knowledge. Money kept leaving the bank account and I wasn’t sure where it was going, or why there was nothing to show for it. I discovered that he had a drug addiction. He was spending money on meth
instead of food and other things we needed as a family. I started to hide money and tell him I was earning less than I was so we could buy essentials and get through to the next pay day.

“He would rather use the money to buy drugs than to buy food for the kids. Sometimes I would just give
him money because I was so drained, and I couldn’t argue with him anymore.”

I was worried and I went to Oranga Tamariki for help. I felt like they were judging me for staying in the relationship. Instead of requiring my partner to get help for his addiction, they suggested I go to a parenting course. I tried to leave him many times. He always said he would do better. I thought it would be better for the kids to live with both parents, and I didn’t have the outside support I needed to leave. Earlier this year, counselling sessions and a parenting course helped me find the strength to leave. The children and I were homeless when I left, so we’ve been living in my sister’s lounge. He crashed the first car he bought under my name and got another one using my details, which he isn’t paying for. The debt he has taken out in my name has given me a bad credit rating so I can’t rent a place or buy a car.

“His car has given me bad credit for seven years. His current car is under my name but he’s not paying the bills, so it affects my credit rating. It’s stressful and depressing but I am trying not to think about it.”

My largest debt is to the Ministry of Social Development because each time I left the relationship I had nothing, so received hardship grants to get furniture for my children. The debt built up to thousands and I am paying it back $25 a week. I’m still paying off the debts I accumulated through the relationship, but I feel a bit better about managing them now. I feel ashamed about how long I stayed with Steve, but I’m also proud of how far I have come. The kids are seven and nine now. I really hope our future will be debt-free and financially stable.

“[I hope to] have a better career, kids settled at a good school — simple things like that. I’m doing better now. I’m striving for the best.”

Juliette’s story Download

Getting Susan back on her feet after extreme relationship violence

Susan experienced extreme relationship violence and lost her business and her home. A grant helped Susan apply for, register and serve bankruptcy documents to her ex so she can be paid the money she is owed.

Susan* experienced extreme relationship violence, which caused the loss of her business and privately owned home. Threatening behaviours continued in the form of stalking after the relationship ended. She lived in hiding out of fear for her safety, and was facing ongoing challenges with her health as a result of violence.

When Susan enquired about a Good Loan for some legal costs, she was renting a home shared with her son who is autistic. She was receiving the sickness benefit and struggling to meet the costs of basic needs. Years of lengthy court proceedings against her ex-partner had taken a toll, which worsened when the High Court ruled in favour of Susan receiving $61,000 for unpaid child support and her ex fled the country in response.

While she was seeking financial support to progress her legal battle, Susan’s ex made complaints to the Ministry of Social Development, the legal aid service and Inland Revenue. This prevented her accessing any financial assistance from these agencies.

Good Shepherd’s family violence economic harm support service explored options for Susan including a bridging loan. But the complex nature of her situation limited the affordability and repayment of a loan. We approved a grant to cover the cost for Susan to apply for, register and serve bankruptcy documents to her ex so she can be paid the money she is owed. The unpaid child support will enable Susan to get back on her feet and hold her ex-partner accountable. She will have more options to move to affordable housing, plan for a better future, and continue improving her mental and emotional wellbeing.

Working alongside Susan, our team also discussed housing support, connected her with the Salvation Army to address basic needs, and introduced her to a financial mentor to help with challenges moving forward.

In an email, Susan says “Thank you, thank you so much. You have no idea how long I have been waiting for good news. Everyone always has the best intentions but for some reason or another, they can never help! I am forever grateful and will pay it forward as soon as I can”.

“It feels like suddenly there is ground under my feet instead of being in free fall. It still hasn’t fully sunken in yet”.

* name has been changed for safety.

Getting Jane medical care and opportunities

Jane was in urgent need of medical support. But existing high-cost debt and financial commitments made another loan unaffordable. A grant enabled medical care and gave her space to regroup.

Jane contacted Good Shepherd when she was in a difficult situation. She needed urgent medical support, but juggling various debts and financial commitments made it impossible for her to get a loan to cover the costs.

Our team reviewed Jane’s situation and realised a loan from Good Shepherd wasn’t a feasible option in the short term. Her pressing circumstances led to a decision to offer a grant instead, to alleviate her financial and health stress right away. At the same time, we recommended a debt consolidation loan as a longer-term solution for simplifying Jane’s finances and reducing the strain of unmanageable debt.

When the Good Loan Coach called her to explain the decision, Jane was overwhelmed with emotion. She was moved by the level of help she was receiving, especially after being turned down by another service for the one-off expense she urgently needed to cover. 

Jane is now working closely with her coach to explore debt consolidation as a way to regain control over her finances. 

* name has been changed for safety

Allie’s new teeth bring better physical and mental health

After years of abuse, poverty and neglect, Allie lost her teeth. She was embarrassed, physically uncomfortable and removing herself from society. Thanks to donations from the public, we could help.

Allie came to Good Shepherd for a loan. While working with her, our team member learned she was experiencing economic harm due to family violence. Allie did not qualify for a loan. We decided to tap into our grant fund as part of wider economic harm support. In response, Allie sent the following email (lightly reworded and anonymised to keep her safe).

“Hello, my name is Allie. I’m 34 and mother to five children. Recently I finally took steps to leave a life of violence and emotional pain — more for my children than myself if I’m being honest.

Life wasn’t kind to me growing up. I didn’t feel safe or happy. I thought violence and cruelty were normal things. We lived in poverty and I thought this kind of life was standard.

I had next to nothing when I left my relationship. It was a hard and humbling experience. I was struggling to get out of bed and do the most basic tasks. I have a degenerative disorder that causes pain and fatigue, and affects many areas of my health including causing heart trouble, hair loss, skin tears and digestion issues. It also makes my teeth crumble.

A few years ago my teeth were wiggling like a young child’s. Years of violence and poor health made the pain in my teeth unbearable. With no money to fund new teeth, I was desperate to have them gone, so I had them pulled out. After this I didn’t leave the house much. I could see people staring at my mouth when I spoke and I felt so embarrassed.

Recently my therapist recommended getting in touch with Good Shepherd for help with debt resulting from abuse in my relationship. I didn’t want to because I thought I would be judged for poor spending choices — when you’re not doing well you don’t always make the best choices. I applied for a Good Shepherd loan, expecting this to be another let down and believing I deserved that. I was contacted by a kind man who didn’t judge me, gave his time freely, and showed me empathy. He also connected me with his colleague Vanessa.

I didn’t qualify for a loan, but she helped me make a plan for managing my debt and chatted to me like I’m a normal person. It felt amazing to be supported by this kind and bubbly person. I really didn’t expect what happened next. I found out I’m getting teeth! Vanessa said a grant would pay for the dental work I need. After four years of having no teeth and no confidence in any situation that requires talking, I am being helped with teeth. Now I’ll be able to talk to my kids’ teachers, and have simple appointments where they won’t look at my mouth when I speak.

It’s the beginning of maybe a more confident, newer self. I’m so incredibly grateful for your help.

P.S. Your staff are those people on the planet who make it less crappy”.

Helping Mīria stay in her home

Mīria was subjected to violence by her partner in the family home she owned. She suffered a huge amount of economic harm and almost lost her house.

Mīria* was referred to Good Shepherd by a financial mentor after she reached out to find help for the debt in her name due to family violence.

She lives rurally, in a North Island town with her children and grandchild. Mīria was subjected to violence by her partner in the family home she owned. Police took her and the children to stay with her mother. They all slept on the floor, while Mīria’s partner remained in her house.

During the relationship, the couple received a benefit. He controlled all the money and financial decisions. Mīria was forced to have debts taken out in her name, and bills only got paid if he wanted them to. She wasn’t allowed to open her own mail or emails.

Mīria obtained a protection order, and after a year of court processes he was incarcerated.

When she was able to return to her home, Mīria learned he had not paid any of the household bills. The power, mortgage, and rates were in arrears. Because of a bad credit rating, the mortgage was with a third-tier, high-cost lender and the debts were out of control. Mīria also has $19,000 of debt owing to Work and Income.

She had been working with Women’s Refuge, Work and Income, and a financial mentor to try and sort out the relationship debt she was left with. Good Shepherd was contacted a day before the house was going to mortgagee auction. Our family violence economic harm service made contact with the mortgage lender. We learned about a $9,000 car loan her ex-partner had taken out, secured by the house. The car loan was with another high-cost lender and, because he hadn’t been making payments, it had increased to $30,000.

Through meetings and discussions, Good Shepherd managed to halt the house sale while a new contract was negotiated with an interest rate almost four per cent lower. Other debts needed to be addressed for this agreement to go ahead.

We contacted the relevant creditors and collections agencies, managing to get debt wiped to the value of almost $8,000. This included power arrears and Afterpay. Centrix removed outstanding defaults from Mīria’s credit report. Through several conversations with the council, we accessed a $750 rates rebate which took the arrears debt to $6,630. Some of this was added to the new mortgage, and the remainder was paid by a grant from Good Shepherd. Reduced debt, and lower and redirected payments mean Mīria can stay on top of ongoing costs, afford basic needs, and keep the family home.

As well as economic harm services, we worked with the financial mentor to support Mīria’s family in other ways. The Police ‘flexi fund’ was accessed for new beds for the children, and a small community grant allowed for the purchase of some vegetable seeds and potting mix to set up a vegetable garden. Another Good Shepherd grant made sure Mīria and her family had groceries when they moved back into their home.

Some of the children struggled with mental wellbeing throughout this experience, and returning home has allowed them to settle back into school. Mīria is grateful for the help she has received, and says she now feels confident to speak with creditors to discuss her financial situation.

“I’m starting anew, I’m a new person!” – Mīria

* name has been changed for safety

Making Mili’s debt more manageable

Family violence left Mili with a lot of unmanageable debt. We could see opportunities to help her become more financially stable. So, we got to work.

Mili* got in touch with Good Shepherd after being referred to us by Women’s Refuge. She left an abusive relationship where her partner controlled all the money and the financial decisions. Mili and her five children were staying at the Refuge’s safe house, and she had a protection order against her ex-partner.

When fleeing violence, Mili had needed loans from the government for things like housing and furniture. She had to relocate six times, leading to a debt of $100,000 with the Ministry of Social Development (MSD). Mili was working with a financial mentor to try and improve her situation.

Our team could see opportunities to help her become more financially stable, so we got to work. We were able to get Mili’s repayments to MSD reduced from $98 to $30. This loan won’t be paid off in her lifetime but lower repayments should help with getting by each week.

We learned that $70 of Mili’s benefit was being redirected to pay for power each week, and this had been the case for years. Conversations with the power company revealed she was in credit by $2,000 and they hadn’t been able to make contact with her due to her address and phone number changing often as she moved to stay safe. Despite being in credit, when Mili moved into her new Kainga Ora rental and applied to the same company, they declined her due to a bad credit report. After we helped the power provider understand Mili’s situation, power was connected, her overpayment was refunded, and her power and internet was capped at $200 for six months.

Mili also had a $20,000 debt with a finance company for a recent car purchase. Her ex had always damaged her vehicles — often when she tried to leave the relationship. While Mili was staying at the safe house, he found where she was and smashed her new car so badly it couldn’t be driven. The finance company had been contacted about the loan being unaffordable when it was first obtained, and they responded by refunding interest and penalties, and lowering repayments. After the car was damaged, and through many conversations, we managed to have it returned to the finance company. Because of Mili’s unique circumstances, they wiped the remaining debt.

“Thank you so much, no one has ever been able to help me the way you have” – Mili.

_{* name has been changed for safety}

Rebecca experiences long-term impacts of economic harm

Rebecca’s trusting 20-year marriage became physically and emotionally abusive and led to lasting economic harm that could have prevented access to housing, electricity and work opportunities.

“I never thought I could do this in my life, but I did it. I can breathe again.”

Rebecca and her husband worked in good jobs and lived a nice lifestyle.

Over time, her husband began gambling and using drugs. He had looked after their finances for a while,

but it started going further than managing bills. He controlled Rebecca’s bank accounts, accessed her email without her knowledge, and reset banking passwords to take money from her. He stole valuable jewellery from Rebecca and pawned it to pay for his addictions.

Rebecca understood how bad things were, and separated from her husband despite family encouragement to stay and work on her marriage.

With the family home caught up in a prolonged court process, Rebecca was exhausted and had minimal funds to support her family. She started a small business on top of her day job, and still needed to rely on foodbanks and community support.

Over the next year, Rebecca worked with her bank to use the proceeds from the relationship property to buy her own home. But a credit check found over $40,000 of debt in her name that she was unaware of.

She was referred to Good Shepherd and met Vanessa — a specialist in recovery from economic harm. Vanessa’s work helps lenders recognise when credit applications could be linked to abuse, advocates for better processes, and educates creditors and Good Shepherd clients about possible solutions for unjust debt.

Vanessa worked closely with Rebecca. She advocated with Rebeca’s bank and the other creditor to get an agreement on resolving the debt. With a resolution agreed on, Rebecca’s bank approved her home loan.

As she started setting up the utilities in her new home, Rebecca got a call from a debt collection agency about a more than $10,000 debt in her name that she didn’t know about. Vanessa worked with the utility company on a resolution, and Rebecca was able to get utilities in her new home.

The economic impact of family violence can continue even after the relationship and other forms of abuse have ended. Good Shepherd raises awareness of this, encouraging businesses and organisations to develop appropriate responses for their customers and clients so we can all play our part in eliminating family harm in New Zealand.

Finding support

If you’re concerned about economic harm or want to talk with someone about the money side of your relationship, our Economic Harm Specialists are trained in advocacy and understand the impact of economic harm.

Ask for help

Lagi gets a reliable car for medical treatments

For Lagi, a reliable car is important. When her car stopped working and needed to be replaced, it felt like there was no way to avoid the pressure of a high-cost loan.

Two of Lagi’s family members depend on her for transport to medical appointments. 

When her car stopped working, Lagi knew life was going to be challenging. A mechanic explained that the car wasn’t worth repairing, so she looked for replacement options. 

Lagi found some suitable cars but they were out of her price range. Several finance companies rejected her application for a loan. 

Friends recommended Lagi get a car from a local dealer. The dealer offered her a loan through their in-house finance. 

Lagi’s work in education and financial services means she knows about good financial decisions. But after weighing her circumstances she felt out of options. The dealer said she needed to put down a deposit while she was there. Lagi borrowed money from family and signed the contract. 

She felt uneasy for a few days. Lagi decided to cancel the contract, and pushed to have her deposit returned.

Lagi knew she needed to sort out her finances. She arranged to talk with one of Good Shepherd’s team about her situation. Existing debt was putting Lagi too far into deficit and she was not immediately able to get a Good Loan to buy a new car. But her Good Loans Coach, Rosh, helped her with options.

They talked through a plan to change Lagi’s budget to pay off some high-cost debt, negotiate a plan with her creditors and free up some money to repay a loan for a car, and consolidate a larger debt she was struggling to get on top of. 

Lagi planned to reduce her debt over a month but managed to clear it within two weeks. With enough surplus in her budget, Lagi had a car loan confirmed and bought a car. She felt really good about getting her family where they need to be.

“I can’t find words to express my gratitude for Good Shepherd. I have already started spreading the word to my community”.