Managing money when you have cancer

It is a good idea to understand how your income and spending compare. This can help you stay in control of your finances. If your spending is higher than your income, you may need to think about making some changes.

It is a good idea to divide your spending into:

• essential items, such as rent or mortgage payments, utility bills and food costs
• non-essential items, such as holidays or meals out.

Usually, non-essential spending can be easier to reduce. But you may also be able to reduce spending on some essential items, if this does not affect your health

You could use our budget planner [PDF, 47KB] or an online budget calculator to track your spending. Writing it down may make it easier to see where you need support, or where you could make savings.

Your costs may include:

• housing costs, such as rent, mortgage payments, council tax or rates
• household costs, such as energy bills, water rates, phone and broadband bills
• credit card payments
• childcare costs
• health costs, such as prescriptions
• travel costs, such as travel to hospital and parking.

We have more information about bills and housing costs. Our budget planner [PDF, 47KB] can also help with this.

If you use credit cards and do not pay off your balance in full every month, you may be paying interest. You could transfer your balance to another card. Some cards offer 0% interest deals for a limited period. But there may be a charge for doing this.

You can check if this option will save you any money by using an online price comparison website such as:

• moneysavingexpert.com
• creditkarma.co.uk
• uswitch.com

They can give you an idea of your chances of being accepted for a credit card before you apply.

Many newspapers also include comparison tables in their personal finance section.

It is also a good idea to check if you have any payment protection insurance (PPI) on your credit card. This can help cover your monthly credit card repayments if you are signed off from work. We have more information about PPI.

If you are struggling to manage your banking, you can ask a family member or friend to help you. This may depend on what type of account you have.

You can talk to your bank or financial provider about your cancer diagnosis. They will often be able to look at what support is available for you. Tell them if you think you may be unable to make any of your payments, such as your mortgage, loans or credit card payments.

It can be hard to keep track of your bills and bank accounts. Remember the following things:

• Direct debit is the easiest way to make sure your bills are automatically paid on time.
• You can pay most bills and check your bank accounts online. This is often easier and quicker than paying by cheque or postal order.
• Some banks, water companies and energy companies have their own apps. This means you can manage your accounts on your smartphone or tablet.
• Try to avoid paying bills late, as you may be charged extra and it may affect your credit rating.

A direct debit means you have told your bank or building society to let an organisation take money from your account each month. For example, you might set up a direct debit with an energy company or a credit card company.

It is important to remember the following when you pay by direct debit:

• You give a company permission to take money from your bank account on a certain date. The payment may be taken a few days before or after this date if it is on a weekend or a bank holiday. The amount they take may change depending on how much you owe them.
• The company needs to tell you about any change to the amount and the payment date in advance. This is normally 10 working days before payment is due.
• Energy companies and phone providers often give a discount if you pay by direct debit.
• You need to make sure you have enough money to pay the direct debit in your bank account on the day before your payment date.
• You can arrange to pay your credit card balance by direct debit. You choose whether to pay off the full amount each month, a set amount or the minimum repayment.

To arrange to pay a regular bill by direct debit, contact the company providing the goods or service.

If you can access your bank account online, you can pay your bills online. Some companies give you a discount if you pay this way. You may find it easier than having to go to a post box, post office or bank. But you will need to remember to pay your bills on time.

To arrange to pay a regular bill online, contact the company providing the goods or service.

If it is easier for you, payments may be made over the phone using telephone banking.

To sign up for online or telephone banking, contact your bank.