Make highest payments to highest priority debts
When you have limited income, you soon realise the consequences of not paying some debts are more serious than others. So, make your highest payments to the highest priority debts.
The highest priority debts are:
- rent or mortgage payments (so you have somewhere to live)
- council rates or body corporate fees
- car payments for a car that's essential for work, children, getting essential goods or medical appointments
- energy and water