With many of Queensland’s rural businesses experiencing financial stress as a result of the drought, Legal Aid Queensland is urging farmers and rural contractors to contact the Rural Financial Counselling Service or Legal Aid Queensland for help if they’re struggling to pay their bills.
The Rural Financial Counselling Service and Legal Aid Queensland’s services are free with no asset or income testing needed for primary producers and rural-based businesses experiencing financial difficulties with their financier.
Legal Aid Queensland’s Farm and Rural Legal Service senior lawyer, Denis McMahon, said many people in the state’s rural communities are experiencing financial stress from the drought or the recent natural disasters and may not be aware of these services.
“We know, both from recent media reports and from our own experience, not only are farmers struggling to pay their bills, but without crops to harvest, many contractors are also laying off staff to try to stay afloat through this tough time. This has a significant knock-on effect for these workers too,” Mr McMahon said.
“The first thing I’d say to people is if your bills or repayments are getting on top of you is to act early – don’t ignore financial problems – they won’t go away. But you may have options and there are professionals ready to help you.
“Many people still aren’t aware banks and financiers have financial hardship provisions and are expected to, and will, work with people to try to resolve their financial problems.
“Lenders must offer you farm debt mediation before taking any enforcement action against you even if it just relates to farming equipment.
“There may be other options available for you to consider so getting advice earlier will make it easier to keep these options open.”
Mr McMahon said people should get in touch with their local rural financial counsellor or Legal Aid Queensland as soon as there are any serious money problems.
“Rural financial counsellors and Legal Aid Queensland often work closely together. Counsellors often refer clients to Legal Aid Queensland if they need help as we can help farmers and rural contractors with legal advice, negotiations and farm debt mediations,” he said.
“Both the Farm Business Debt Mediation Act and the Credit Rural Finance Act provide protections in relation to repossession or enforcement action by the financier to farmers and contractors should they qualify under the definitions in the Acts.
“So, if you receive any official-looking documents or letters don’t ignore them – contact your local rural financial counsellor or Legal Aid immediately and we can help you negotiate with these financiers.”
For more information about our Farm and Rural Legal Service go to: www.legalaid.qld.gov.au/FRLS, email: frls@legalaid.qld.gov.au or call 1300 65 11 88.
Media contact: Amanda Catania (3917 0407) or Caroline Page (3917 0457)
Last updated 19 November 2019