personal insolvency

Debt is confronting, but there is a way out. The first step is to understand debt – the more you know, the less scary it becomes. This article is to help you understand exactly what debt is, so you can begin to establish your own secure financial situation.

A personal loan gives you the opportunity to access money and use it for whatever reason you choose. Since they are multi-purpose loans, they can be used for the payment of vacations, medical bills, car purchases and more. It’s not very difficult to get a personal loan.

The yearly cost of student Higher Education Loans Scheme (HECS) loans are likely to reach a figure of $11.1 billion by 2025. New loan application numbers are rising and, according to a report published by the Parliamentary Budget Office, the nominal value will likely hit $185.2 billion by 2026.

Australia’s debt to GDP ratio is expected to rise beyond 50% in the next two decades. A government debt of $397 billion and this figure is rising by a little over 100 million a day. We’ll hit $1 trillion by the year 2037 if we don’t do something about the burgeoning debt problem in the nation.

Financial institutions are more than eager to offer you numerous credit facilities in the form of loans and credit cards in their race to pass competitors in the credit market. If you’re not aware of your credit standing and you start falling back on payments, you might just end up drowning in debt.