Start 2026 With a Financial Clean Slate: 5 Steps

The new year is the perfect time to check-in with your finances. Knowing exactly where you stand helps you make smarter money decisions and gives you confidence to plan for big goals like buying a home, refinancing, or upgrading your lifestyle. Here are five important steps to start 2026 on the right track:

1. Cancel Forgotten Subscriptions

Many of us sign up for services and forget about them. Streaming apps, online subscriptions, memberships, and other recurring payments can quietly drain your accounts over time. Take a moment to review all automatic payments and cancel anything you no longer use. Even small amounts add up over a year and can free up money for savings or debt repayment.

2. Check With a Broker If You’re Changing Jobs or Going Self-Employed

Changes in your employment status can affect your borrowing power. Switching jobs, moving to a new industry, or starting self-employment may change how lenders view your income. Speaking with a mortgage broker can give you clarity on your options and help you plan any steps needed to protect or improve your borrowing power before you apply for a loan.

3. Review Credit Cards and Limits

Your credit cards are more than just spending tools. Lenders also consider your card balances and credit limits when assessing your borrowing potential. Take stock of all your cards, check balances, and close or manage any you no longer use. Understanding your credit situation now will make it easier to make bigger financial decisions later.

4. Check Buy Now Pay Later Commitments

Buy Now Pay Later services, like Afterpay, Zip, or Klarna, may feel small but they still count toward your overall debt. Make sure you know exactly what outstanding commitments you have and pay them down if possible. Managing these early ensures they don’t unexpectedly affect your ability to borrow when you need it most.

5. Know Your Current Borrowing Power

Before making any major financial moves, it’s important to understand your current borrowing power and whether you would feel comfortable with the potential repayments. Your borrowing power is the amount lenders would realistically approve based on your income, spending habits, and debts. 

If your borrowing power isn’t where it should be, now is the time to take steps to improve it. This could include reducing debt, reviewing spending habits, or seeking advice from a broker.