# HL-Q069: Borrower journey Our income has fallen and we're struggling with our home loan. If we don't feel we're getting useful help from the lender, who else can we speak to? Borrower: Household facing an income drop [Study](https://nzbrands.ai/research/banking/home-lending/) · Collected 11 October 2026 ## chatgpt Answer ID: 51e9780b-d299-4ebd-af6f-3671949b34ac I'm sorry you're dealing with this. A drop in household income can make a home loan feel overwhelming, especially when you don't feel your lender is listening. In New Zealand, you can get free, independent help with both your finances and your dealings with your lender. You don't have to handle this alone. ## Who you can turn to ### 1. MoneyTalks — free financial mentoring Good first step MoneyTalks can connect you with a free, confidential financial mentor who can help you work out an affordable budget, organise debts and communicate or negotiate with your lender. They can also help you understand your options when you're struggling with repayments. [Making a complaint about your financial service provider](https://www.consumerprotection.govt.nz/help-product-service/managing-money/how-to-complain-about-your-financial-service-provider)[Get help to manage your money](https://www.www.govt.nz/browse/family-and-whanau/financial-help-for-your-family/get-help-to-manage-your-money/) - Phone: 0800 345 123 - Text: 4029 - Email: help@moneytalks.co.nz - Website: [MoneyTalks](https://www.moneytalks.co.nz/) ### 2. Banking Ombudsman Scheme — independent help with a bank If your lender is a bank and you feel it hasn't handled your hardship situation properly, you can contact the Banking Ombudsman Scheme. It's a free, independent service that deals with complaints about participating banks. It can look at issues such as poor communication, delays and how your hardship application was handled. It generally cannot force a bank to approve a particular repayment arrangement if the decision is a matter of commercial judgement. [Hardship and financial difficulty](https://www.bankomb.org.nz/guides-and-cases/quick-guides/lending/hardship-and-financial-difficulty)[Make a complaint](https://www.bankomb.org.nz/make-a-complaint) - Phone: 0800 805 950 - Email: help@bankomb.org.nz - Website: [bankomb.org.nz](https://www.bankomb.org.nz/) ### 3. Citizens Advice Bureau (CAB) — help understanding your rights CAB offers free, independent guidance and can help you understand your options, find local budgeting support and work out where to take a complaint. [Complain about your financial services provider](https://www.govt.nz/browse/consumer-rights-and-credit-record/how-to-complain/complain-about-your-financial-services-provider/)[Get help to manage your money](https://www.www.govt.nz/browse/family-and-whanau/financial-help-for-your-family/get-help-to-manage-your-money/) - Website: [cab.org.nz](https://www.cab.org.nz/) ### 4. Community Law — free legal advice If you believe the lender is acting unfairly, you're worried about enforcement action, or you've received formal notices about your home, Community Law may be able to advise you on your legal rights and next steps. [Making a complaint about your financial service provider](https://www.consumerprotection.govt.nz/help-product-service/managing-money/how-to-complain-about-your-financial-service-provider)[Mortgages and home loans](https://www.consumerprotection.govt.nz/help-product-service/borrowing-money/mortgages-and-home-loans) - Website: [communitylaw.org.nz](https://communitylaw.org.nz/) ## What to do next I'd suggest these steps: 1. Contact MoneyTalks first. Explain that your income has fallen and that you aren't getting useful support from your lender. Ask for a financial mentor who can help you work through your options. 2. Put your concerns in writing to the lender's complaints team. Explain what has happened, what you can realistically afford and what help you're asking for. Keep copies of all correspondence. 3. Escalate to the appropriate dispute resolution scheme if the lender doesn't resolve your complaint. If it's a bank, start with the [Banking Ombudsman](https://www.bankomb.org.nz/make-a-complaint). If it's another lender, ask which scheme it belongs to. [Making a complaint about your financial service provider](https://www.consumerprotection.govt.nz/help-product-service/managing-money/how-to-complain-about-your-financial-service-provider)[Hardship and financial difficulty](https://www.bankomb.org.nz/guides-and-cases/quick-guides/lending/hardship-and-financial-difficulty) You can also ask your lender about hardship options, such as temporarily reduced repayments, extending the loan term or a repayment deferral. Each option has different costs, so ask for the effect on your total debt and future repayments before agreeing. [Hardship and financial difficulty](https://www.bankomb.org.nz/guides-and-cases/quick-guides/lending/hardship-and-financial-difficulty) Important: If you've already missed payments or received a formal demand or notice concerning your home, seek help promptly rather than waiting for the complaint process to finish. ## I can help you work out your next step Could you tell me one thing: what sort of help have you asked your lender for so far? For example, have they refused a hardship application, offered repayments you still can't afford, failed to respond, or suggested selling the house? That will help me point you towards the most relevant support in New Zealand. --- ## gemini Answer ID: 688cdfe4-da04-4c67-9beb-c290481fc14e If you feel like you are hitting a brick wall with your lender or aren’t getting the support you need, there are independent, free, and confidential avenues available in New Zealand to step in, advocate for you, and help restructure your options. --- ### 1. Free Independent Financial Mentoring * **MoneyTalks (0800 345 123):** This is a New Zealand nationwide, free, and confidential financial helpline. Their financial mentors can review your budget, help you understand your rights under credit contracts, and—crucially—**talk to your lender on your behalf** if negotiations have stalled. You can also text them on 4029 or chat via their website. ### 2. Community & Advisory Support * **Citizens Advice Bureau (CAB - 0800 367 222):** CAB can provide free, face-to-face guidance on consumer rights, mortgage hardship provisions under the Credit Contracts and Consumer Finance Act (CCCFA), and connect you with local budgeting services in your area. * **Independent Mortgage Advisers:** If your current bank is uncooperative, you can consult an independent mortgage adviser. They can look at your situation objectively and see if refinancing or restructuring with another lender is a viable path forward. ### 3. Escalation and Dispute Resolution If your lender is failing to respond reasonably to a formal hardship application or you believe they are acting unfairly, every registered financial service provider in New Zealand is legally required to belong to an independent dispute resolution scheme. If you reach an impasse, you can escalate the matter to their assigned scheme: * **Banking Ombudsman Scheme:** If your lender is a registered bank, you can take your complaint here. They help resolve disputes between customers and banks independently and for free. * **Financial Services Complaints Limited (FSCL) or Insurance & Financial Services Ombudsman (IFSO):** Depending on which scheme your non-bank lender or financial institution belongs to. ### 4. Exploring KiwiSaver Hardship If your drop in income is severe and long-term, you may be eligible to apply for a **KiwiSaver withdrawal for severe financial hardship** through your KiwiSaver provider. This can sometimes free up funds to clear arrears or bridge a gap, though it requires specific documentation proving you cannot meet minimum living expenses. --- **Next Step:** Consider reaching out to **MoneyTalks (0800 345 123)** or your local **Citizens Advice Bureau** to map out your budget and have an independent advocate review your lender's response. Would you like some guidance on how to structure a formal hardship application or organize your budget for a financial mentor? --- ## ai-mode Answer ID: 193ee478-1908-4257-b330-26894a6eb121 If you are not getting the support or flexibility you need from your lender regarding your home loan, there are several independent, free, and confidential services in New Zealand you can turn to for guidance, advocacy, or dispute resolution. * * **[MoneyTalks](https://moneytalks.co.nz/)** : A free and confidential financial helpline funded by the government. You can speak with trained financial mentors who can help you look at your overall budget, talk through your mortgage hardship options, and connect you with local face-to-face financial capability services in your community. You can call them on 0800 345 123, text 4029, or email help@moneytalks.co.nz. * **Your Bank's Internal Dispute Resolution / Complaints Team** : If you have only been dealing with a frontline loan officer or a standard customer service rep, ask to escalate your situation to your bank’s internal complaints department or dedicated hardship team. Banks have formal dispute processes and specialized teams who review hardship applications under stricter regulatory guidelines. * **The Banking Ombudsman Scheme**: If you have gone through your bank's internal complaint process and still feel they are treating you unfairly, acting unreasonably, or failing to properly consider a statutory hardship application, you can take your complaint to the Banking Ombudsman. Their service is completely free and independent for consumers. You can contact them via the Banking Ombudsman Contact Page or call 0800 805 950. * **Budgeting and Community Services** : Local budgeting services (often operating under the Building Financial Capability umbrella) can advocate directly on your behalf, helping you draft formal proposals or hardship variations to present to your lender. * If you'd like, let me know: * Have you already submitted a **formal hardship application** in writing to your lender? * Are you dealing with a **registered registered bank** or a non-bank lender? I can give you more specific advice on **how to prepare your next steps** or frame your hardship request. --- ## ai-overviews Answer ID: a6719acf-9097-4b17-9ff0-0b2ccd1610d6 If your lender is not offering useful help while you are dealing with a fallen income, you have several **free, independent, and confidential** places to turn for support across New Zealand. Here is who you can speak to right now: 1\. Free Financial Mentors (MoneyTalks) Before fighting the lender, it is best to have an expert look at your numbers. **MoneyTalks** is a free financial helpline funded by the Ministry of Social Development. * **What they do:** They can assign you a local financial mentor who will help you build a household budget, assess your options, and even **advocate or negotiate directly with your lender** on your behalf. * **How to contact:** Call **0800 345 123** , text **4029** , or email help@moneytalks.co.nz. 2\. An External Dispute Resolution Scheme (The Ombudsmen) All New Zealand lenders are legally required to belong to an approved financial dispute resolution scheme. If your lender is ignoring your requests or refusing to genuinely consider a formal **Financial Hardship Application** , you can escalate the matter to their specific scheme. These services are completely **free to consumers**. Depending on who your lender is, they will belong to one of these four bodies: * **Banking Ombudsman Scheme (BOS)** – For all major retail banks. * **Financial Services Complaints Ltd (FSCL)** – For many building societies, credit unions, and non-bank lenders. * **Financial Dispute Resolution Service (FDRS)** – For various non-bank lenders and finance companies. * **Insurance & Financial Services Ombudsman (IFSO)** – Covers specific lenders and insurers. _Tip: If you do not know which one your lender belongs to, you can check the**Financial Service Providers Register** or just ask your lender directly._ 3\. Government & Community Assistance * **Work and Income (MSD):** Even if you own a home, you may qualify for temporary financial support, accommodation supplements, or urgent hardship grants depending on your current household income. Check your eligibility online via **Work and Income**. * **Citizens Advice Bureau (CAB):** You can speak to someone at a local **Citizens Advice Bureau** for free guidance on your legal rights regarding credit contracts and what your lender is obligated to do. * **KiwiSaver Provider:** If things are critical, you can speak to your KiwiSaver provider about a **Significant Hardship Withdrawal**. This should be treated as a last resort, but it can be used to prevent a mortgagee sale. Next Steps to Protect Yourself 1. **Request the "Hardship Team":** If you've only spoken to standard customer service, call back and ask specifically for the **Financial Hardship or Credit Solutions Team**. They are legally required under the Responsible Lending Code to assess genuine hardship requests carefully. 2. **Put it in writing:** Send an email stating you want to make a formal **"Hardship Application"** due to a drop in income. This officially starts a legal timeline that the bank must adhere to. * * * To help narrow down your options, is your home loan with a **major retail bank** or a **non-bank lender**? Also, if you'd like to share whether this income drop is **temporary or long-term** , I can suggest specific relief structures to ask for.