Increasingly people are having trouble managing their current financial debt. Retail spending is up, and unfortunately for some people that’s as a result of them spending more than they earn or can afford.
The Australian Bureau of Statistics reported on the 4th of Feburary, 2009 that in seasonally adjusted terms (not including the impact of the government’s December 2008 ‘Stimulus Package’), all retail industries had a sales increase in December 2008, with Food retailing (+1.4%), Department stores (+8.3%), Clothing and soft good retailing (+5.8%), Household good retailing (+9.9%), Other retailing (+2.6%) and Cafes, restaurants and takeaway food services (+1.7%).
With the impending stimulus packages to be released over the next couple of months, and the government encouraging retail spend, some people may find themselves in a worse of position than before with over spending.
April 14, 2010
We have been told for years that we are a Nation of over-consumers. Too much fatty food, too much binge drinking, too much energy/petrol/fossil fuels and too much credit?
Yes, that’s right, too much credit. It’s about time that we realised that our amount of credit card and other unsecured debt is just as damaging to our health as cigarettes and alcohol. The associated stress and worry of interest and repayments are taxing on the readily employed with a reasonable income, not to mention to effects our out-of-control spending has on those recently affected by the GFC. To those Australians who find themselves now unable to meet their credit commitments, this is very much the overconsumption of credit.
It’s all too easy to point the finger at the over-eager banks and lenders for wanting us to spend the money. We are, after all, asking for the money ourselves and then happily trotting off to spend it. We must take responsibility for our actions and our over-consumption.
The problem is… what if you can’t? Many ‘under-employed’ people have lost their well-paying jobs and now find themselves working in whatever capacity they can to keep a roof over their heads and food on the table. The reduced income however, does not stretch as far as pDebtaying all those loans and credit cards.
“There are other options out there’” Natalie Levett of Australian Financial Solutionsis quick to point out, “Most people just aren’t aware that there are alternatives which sit between ‘all OK’ and the last resort of bankruptcy”.
April 14, 2010
With unemployment figures set to rise and a slowing economy, many Australians may find themselves having problems repaying debt. A recent Dun & Bradstreet survey revealed many people expect to increase their debt amounts by using credit cards and other forms of credit, with credit highest amongst the 18-34 age group. A drop in property prices, job losses and dwindling investments are all contributors to a rise in personal debt.
If you’ve recently become one of the many Australians struggling with debt, its important to know what your options are. If your struggling with credit card debt, the best solution for you may be debt consolidation or loan refinancing. This brings all your debt repayments under one regular payment, making it much easier for you to manage. You may even find that you can lower your interest rate or monthly payments.
April 14, 2010
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