Baldivis named bankruptcy capital of Australia

Baldivis named bankruptcy capital of Australia

BALDIVIS has been labelled the highest ranking suburb in Australia for people declaring personal bankruptcy, according to a Illion’s Personal Bankruptcy Analysis 2017 report.

The Rockingham suburb recorded a total 103 personal insolvencies last year, and was the only suburb in WA that made the list.

City of Rockingham Councillor Matt Whitfield said the suburb was named the nation’s worst for personal bankruptcy for reasons including the State grappling with the fallout from the mining boom.

“Unfortunately there were more personal insolvencies than anywhere else in Australia with 103 bankruptcies in Baldivis,” he said.

“Ordinarily statistics like these can normally be answered by saying that Baldivis is a large suburb, however there are much larger cities on this list and it appears to be a true reflection.

“WA is still grappling with the fall out from the boom and perhaps a contribution of falling house prices, unemployment and other factors have led to this, including many people who over-leveraged or borrowed more than they could afford to purchase other items.”

Illion’s Bankruptcy Analysis report showed people declaring bankruptcy were getting younger, with an average age of 40.9 years in 2017 compared to 46.7 years in 2013.

The analysis also showed men, at 57.4 per cent, were more likely than women, at 42.6 per cent, to go bankrupt.

“Wages are not rising, the State Government has recently put up the gas and electricity prices and these and other factors are not helping,” Cr Whitfield said.

“There doesn’t have to be a negative stigma around declaring bankruptcy, and organisations like the Salvation Army exist to help those who are going through the experience.”

Baldivis topped the list ahead of Pakenham and Craigieburn in Victoria, followed by Pimpama and Upper Coomera in Queensland.

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