Example - applying hardship obligations

Hardship application

Event

1. January

While attending a work focused appointment, Kerry says that she needs help to pay for food.

The case manager:

• finds out more about Kerry's current financial situation
• assesses what assistance is available and whether she is currently getting the correct payments for her circumstances
• grants a Special Needs Grant for food and
• offers Kerry information on the building financial capability services available

2. January

Kerry applies online via MyMSD for assistance with food 3 weeks after her last grant.

The reasonable steps obligation is covered in MyMSD and Kerry indicates what steps she will take.

Assistance is granted and she is provided with a link to information on building financial capability services via MyMSD.

3. March

Kerry applies online for assistance with food again.

Assistance is granted and she is provided with a link to information on building financial capability services via MyMSD.

4. April

Kerry is in the service centre and asks for help with her power bill.

The case manager:

• talks to Kerry about her financial situation
• assesses what assistance is available and whether she is currently getting the correct payments for her circumstances
• discusses what Kerry has done to meet the reasonable steps obligation and what else may be possible including:
  • setting up a direct deduction to pay for power weekly
  • looking for a smaller house to rent
• grants hardship assistance for power
• checks if Kerry has attended any building financial capability services - but Kerry has not
• explains how the services could help and provides the information on how to access services again

5. May

Kerry's car needs repair work so she can get to work and she comes into the service centre to get help. Kerry works rurally so the car is essential as there is no public transport in her area.

The case manager discusses what Kerry did between grants to improve her financial situation. Kerry reviewed listings for several cheaper rental houses but did not set up a direct deduction.

They discuss what other options may be available to help Kerry manage her money. Kerry has not taken up the offer of services to build her financial capability so information is offered again.

After assessing if Kerry's payments are correct, an Advance is approved for the car repairs.

They agree that as reasonable steps Kerry will set up the redirection, keep looking for less costly housing, and look for cheaper phone and internet options before she applies for another grant.

6. May

Kerry applies online for assistance with food. She is under the limit and signals that she has done what was agreed to take reasonable steps.

Assistance is granted and she is provided with a link to information on building financial capability services via MyMSD.

7. July

In July Kerry comes into the service centre as she can't make a payment on her car loan.

After assessing whether she is getting the correct payments for her circumstances, they discuss what Kerry did between grants, including:

• continuing to look for cheaper housing
• changing her internet plan to a cheaper one

Payment is made for the car costs as Kerry has taken reasonable steps but they agree that before she applies for another grant Kerry will:

• set up the direct deduction for power
• look at ways to reduce her food bill via planning
• look at ways to reduce power usage.

Kerry has not taken up the offer of services to build her financial capability so information is offered again – the case manager strongly suggests Kerry take up the budgeting advice as it appears there are still some things, she can do to improve her financial situation.

8. September

Kerry comes into the service centre to get help with her power payments as she has fallen behind and is at risk of disconnection.

Kerry has not set up the direct deduction for power as discussed at previous appointments and has been struggling to reduce her food and power bills.

Kerry has not accessed any of the services offered but has started looking for a job that pays more or can offer more hours.

The case manager checks that Kerry is getting everything she is entitled to.

Payment is made to Kerry for this month's power bill as Kerry has taken reasonable steps.

However, the case manager decides that Kerry should have a budgeting activity obligation applied as there are a number of ways for her to improve her ability to manage her money. They agree that seeing a budget advisor would be the most helpful activity and Kerry is told that she may be declined future hardship assistance if she does not complete this activity. An appointment is made for a week later to see how the activity goes.

Kerry does not attend and this is noted for follow up the next time Kerry applies for hardship assistance.

9. September

Two weeks later Kerry comes in for a food grant. She has not done the budgeting activity or taken reasonable steps but after discussion with the case manager about her situation, it is clear there were exceptional circumstances as Kerry has been unwell and off work for most of the last 2 weeks.

A Special Needs Grant is paid and Kerry is aware she will need to attend the budgeting service.

10. October

While attending another appointment, Kerry asks for help to pay for food.

She has not attended the budgeting service and does not have a good reason. She is still looking for a job with more hours and cheaper housing.

She is not over the limit but has met the reasonable steps obligation but not the budgeting activity obligation. She is given enough money for food until she attends the budgeting service later that week.