Liraz and Avi, a couple residing in central Israel, have been happily married for five years.
They have two young children and lead busy lives. In August 2022, they decided to seek assistance from Paamonim, recognizing the need for better financial management. Liraz is a secretary in a large company, while Avi is responsible for security in a government organization. Initially, they believed their income was sufficient. However, as time passed, they began to notice a concerning trend: a growing monthly deficit of 2,000 shekels (approximately $610), pushing them further towards a negative financial balance.
In addition to their financial challenges, they carried a 90,000-shekel loan (equivalent to $27,400) and faced a demanding mortgage with strict repayment terms. Trimming their expenses proved to be a difficult task, as their primary aim was to achieve financial stability, all with the hope of providing a brighter future for their children. Liraz conveyed, “Our goal was to allocate funds for the future, especially to ensure a better life for our kids.”
At the commencement of their mentorship with Paamonim, Avi and Liraz candidly shared their financial situation with Amit, their assigned mentor by Paamonim. They shared that they were juggling multiple credit cards and using various applications for payments, making it challenging to monitor their expenditures. One of the first steps taken was to meticulously document all their expenses and gain insight into their monthly spending habits. Subsequently, they set a savings objective and established a family budget, marking the first time they had done so. Additionally, they simplified their credit card payments to facilitate better expense tracking. Amit helped them negotiate a new arrangement with the bank for their loan, including a fresh repayment plan that aligned with their capabilities. The next step involved meticulous tracking and recording of expenses in the Paamonim budget management app. Avi mentioned, “The app is very user-friendly and helps us keep track of expenses. I am now able to see a complete picture of our financial situation.”
After an eight-month mentoring period, Amit concluded his role as their financial mentor. Liraz and Avi expressed deep gratitude for the invaluable guidance they received, emphasizing that they now possess the confidence to manage their finances effectively. They successfully reached their initial savings objective and, notably, they make collaborative financial decisions through transparent discussions. The tools they acquired continue to serve as a solid foundation, enabling them to address future financial challenges while maintaining their financial independence.
Avi and Liraz received individual mentoring as part of a program specifically designed to support young families.
This initiative is a collaborative effort with Bank HaPoalim.