Assistance NGO Sees Surge in Families Seeking Financial Help Amid Rising Costs

Paamonim, an organization offering financial aid and educational support, has reported a dramatic rise in the number of families seeking assistance. Sharon Levin, the organization's Director of Communications and Public Affairs, stated that since the holidays, they have seen an increase of over 250 families each week reaching out for support.

Levin noted that this surge is particularly noticeable in their mentorship programs, which have seen a significant uptick in participation. Normally, Paamonim provides mentorship to around 5,000 families annually, but that number is now growing rapidly. The average debt of these families has also been climbing, with some families facing debts as high as NIS 350,000, in addition to significant mortgages.

While the organization has always supported families in financial distress, Levin pointed out that more middle-class families, including reservists, have begun to turn to them for help. The soaring cost of living, compounded by the ongoing Israel-Hamas conflict, has strained many families. High interest rates, which were already affecting families before the war, have made mortgages and loans even more burdensome, causing many to face rising debt and even bankruptcy.

In addition to the economic pressures caused by the war, Levin shared that the organization is now assisting more single mothers, young couples, and young people who are also struggling to make ends meet. With prices, especially food costs, continuing to rise, the financial outlook for families in Israel is expected to worsen in the coming year.

A recent Paamonim poll revealed the severity of the crisis, with one in five Israeli families forgoing basic food and medicine due to financial hardship. Many families are also cutting back on essentials like healthcare, with a significant number avoiding dental treatments, doctor visits, and medications.

Paamonim is working hard to provide families with the tools they need to regain financial stability. Through their mentorship programs, they help families assess their financial situations, including income, expenses, and debt, and create personalized plans to help them achieve financial independence. Levin explained that, in most cases, families are unaware of the full extent of their debt, often miscalculating their financial obligations by as much as 30%.