June 25, 2018 75

Top 3 Reasons For Personal Bankruptcy in Australia

Posted by:Charles Bosse onJune 25, 2018

No one wants to consider bankruptcy, which is easy to understand considering that bankruptcy will influence your financial condition for several years to come. This may be one of the reasons why people don’t seek financial help in times of need, because they are under the general misunderstanding that bankruptcy is the only way to resolve their financial issues. Sadly, this isn’t the case as there are many opportunities available to those coping with financial difficulties. What most individuals don’t understand is the sooner they act, the more opportunities will be generally be available to them.

In Australia, personal bankruptcies are on the rise again, with the September 2017 quarter recording an 8% increase in the number of bankruptcies proceedings than the previous year. In reality, the September 2017 quarter was the ninth consecutive quarter in which the amount of debt agreements increased. Like me, you may be wondering why?

Well, the economy is doing fine with interest rates still at an all-time low and unemployment steady at 5.6% in February 2018. Although the unemployment rates aren’t ideal, it’s floating around average levels which certainly wouldn’t lead to an 8% increase in the number of personal bankruptcies. So, just what has caused 4,236 people to file for bankruptcy in the September 2017 quarter?

If you’re wrestling with any financial hardship, understanding the top causes of personal bankruptcy will give you awareness into what areas of your finances you have to prioritise. Our world is shifting rapidly and discovering new risks in your own financial situation will allow you to proactively address them. To give you some insight, here are the top 3 causes of personal bankruptcy in Australia in 2017.

Excessive use of credit
The top cause of bankruptcy in Australia today results from excessive use of credit. This is exceptional, given that it is the first time since data collection started in 2007-08 that excessive use of credit has surpassed unemployment as the leading cause of personal bankruptcy.

Clearly, this is an ongoing issue that ought to be addressed. Banks charge extravagant fees and interest charges for late credit card repayments, so if you’re currently overdue in your credit card repayments, act now. The Government’s MoneySmart website (https://www.moneysmart.gov.au) has plenty of online resources that can aid those with credit card issues. Seeking financial guidance is strongly recommended to teach individuals how to plan and follow a budget.

Unemployment
Unemployment or loss of income remains to be one of the most contributing aspects of personal bankruptcy. This comes as no surprise given that many Australian’s don’t have income insurance or an emergency fund which they can use if they experience an unforeseen termination or resignation. With unemployment rates currently at 5.6%, this leaves many Australians without a reliable source of income and relying only on Centrelink payments to remain solvent. The best way to deal with an unanticipated loss of income is to be prepared, which accentuates the importance of building an emergency fund that can support you and your family for 3 to 6 months.

Relationship breakdowns
The third biggest cause of personal bankruptcies in Australia originates from relationship breakdowns. Divorce rates are progressively increasing, with the ABS recording 46,604 divorces in 2016. Even though divorces are not uncommon, financial problems resulting from divorces are common given the affiliated legal costs, child support, and the abrupt transition into a one-income household. Many individuals find themselves inheriting debts from their partners or are unable to pay off existing credit because their costs have drastically increased.

Looking ahead
Regardless of the reasons for your financial troubles, the fact remains that the sooner you seek financial guidance, the more opportunities will generally be available to you to resolve these issues. Lots of people wrestle with debt for years before seeking help. If you’re juggling your finances and avoiding phone calls, don’t wait any longer. Get in contact with the specialists at Fresh Start Solutions on 1300 818 575, or alternatively visit our website for more information: https://freshstartsolutions.com.au

Comments

    EdwardPloxy

    online doctor prescription for viagra https://viagrabng.com/# viagra cost per pill

    Rodrick

    Having read this I thought it was extremely informative.
    I appreciate you taking the time and effort to put this informative article together.
    I once again find myself personally spending way too much time both
    reading and commenting. But so what, it was still worthwhile!

    PedrofaM

    viagra discount: buy viagra online usa – viagra discount

    PedrofaM

    buy viagra online usa: viagra – best place to buy generic viagra online

    Bryancek

    real viagra without a doctor prescription usa canadian pharmacy – best european online pharmacy

    Bryancek

    the best ed drug canada drug pharmacy – best online pharmacy reddit

    Arnulfo

    Howdy! Would you mind if I share your blog with my zynga group?
    There’s a lot of people that I think would really enjoy your content.
    Please let me know. Thank you

    where web hosting

    Simply want to say your article is as astonishing. The clarity
    in your post is just spectacular and i can think
    you’re an expert in this subject. Fine along with your permission allow me
    to take hold of your RSS feed to stay updated with coming near near post.
    Thanks a million and please continue the rewarding work.

    Kireazy

    http://buytadalafshop.com/ – buy cialis online with a prescription

    compare generic viagra price

    Zithromax If Allergic To Penicillin

    http://t.co/

    Thanks for finally talking about > Top 3 Reasons For Personal Bankruptcy in Australia < Liked it!

    http://t.co

    Hiya! I know this is kinda off topic however I’d figured I’d ask.

    Would you be interested in exchanging links or maybe guest writing a blog article or vice-versa?

    My site discusses a lot of the same subjects as yours and I feel
    we could greatly benefit from each other. If you happen to
    be interested feel free to send me an e-mail. I look forward to hearing from you!
    Great blog by the way!

    where asmr

    You’re so interesting! I don’t believe I have read anything like that before.

    So good to discover somebody with original thoughts on this issue.
    Seriously.. many thanks for starting this up.

    This web site is something that is required on the internet, someone with a little originality!

    scoliosis surgery was

    Hi there! I know this is kinda off topic but I was wondering if you
    knew where I could find a captcha plugin for my comment form?
    I’m using the same blog platform as yours and I’m having
    trouble finding one? Thanks a lot!

    Gene

    Appreciating the commitment you put into your site and in depth information you provide.
    It’s great to come across a blog every once in a while that
    isn’t the same unwanted rehashed material. Great read!

    I’ve saved your site and I’m adding your RSS feeds to my Google account.

    j.mp

    Hello, I would like to subscribe for this weblog to obtain most recent updates, so
    where can i do it please help out.

    that asmr

    Hello friends, how is all, and what you would like
    to say on the topic of this post, in my view its in fact awesome in favor of me.

    bit.ly

    This design is spectacular! You obviously know how to keep a reader amused.
    Between your wit and your videos, I was almost moved to start my own blog (well, almost…HaHa!) Great job.
    I really enjoyed what you had to say, and more than that, how you presented it.
    Too cool!

    Propecia

    Cephalexin To Treat Clamydia

    scoliosis surgery where

    It’s going to be ending of mine day, but before
    ending I am reading this wonderful paragraph to improve my knowledge.

    off quest bars

    What you said was very logical. However, think about this, suppose you were to write a killer title?
    I ain’t suggesting your content is not good., but suppose you added something that grabbed people’s attention? I mean Top 3 Reasons For Personal Bankruptcy in Australia is kinda plain. You
    ought to peek at Yahoo’s front page and watch how they write
    article titles to get people to open the links. You might add a related video or a related picture
    or two to get readers interested about what you’ve got to say.
    In my opinion, it would bring your blog a little livelier.

    quest bars http://bit.ly/3jZgEA2 quest bars

    app.gumroad.com

    It’s not my first time to pay a quick visit this site,
    i am visiting this site dailly and take fastidious information from here all the time.
    asmr https://app.gumroad.com/asmr2021/p/best-asmr-online asmr

    http://j.mp/3k0xFd5

    This website was… how do you say it? Relevant!!
    Finally I have found something that helped me. Kudos! scoliosis surgery https://0401mm.tumblr.com/ scoliosis surgery

    http://coub.com/stories/962966-scoliosis-surgery

    Hi there, every time i used to check webpage posts here early in the break of day,
    since i love to learn more and more. scoliosis surgery https://coub.com/stories/962966-scoliosis-surgery scoliosis surgery

    j.mp

    Hello my family member! I wish to say that this article is awesome,
    nice written and come with almost all significant infos. I’d like
    to peer extra posts like this . ps4 https://bitly.com/3nkdKIi ps4

    www.iherb.com

    My relatives always say that I am killing my time here at web, but I know I am getting know-how daily
    by reading thes pleasant articles. quest bars https://www.iherb.com/search?kw=quest%20bars quest bars

    creadleda

    https://buyplaquenilcv.com/ – buy hydroxychloroquine sulfate

Leave a Reply to Muctoto Cancel reply

Your email address will not be published. Required fields are marked *

Copyrights © Bankruptcy Experts Pty Ltd.