Many Australians Financially Unstable

February 22, 2010 |

Despite the slight recovery of the world economy, many Australians continue to face financial difficulties. You may even be surprised to find out that between men and women in down under, more female adults were found to be not financially stable.

This may be so because of the fact that women are mostly the ones managing the family’s budget with some of them not working at all in order to manage the home and supervise the kids. Additionally, women who are working or are engaged in any form of business are only providing supplementary income to the family as in most cases, it’s still the husband who’s considered to be the breadwinner.

A new survey of the Bankwest Financial Fitness Index showed that nearly one third of women in Australia are not financially stable while 25 percent of men are also in the same situation. The research added that most of these people categorized as financially unfit depend on largely on debt, have very little savings or none at all, have no insurance coverage and are facing high housing costs.

Compared to the 2009 figure of 22 percent, the recent survey showed a six percent increase in the number of people considered to be financially unstable. With the ongoing financial difficulties being faced by Australians, it only means that they are not yet feeling the impact of the economic recovery. In fact, 69 percent of people down under admitted having a hard time in 2009 as a result of the global financial crisis.

On a positive note, of the total 833 people across Australia covered in the online survey, only 22 percent were considered to be stable in their financial situation. These folks have low housing costs, regular savings, several insurance coverage and assets under their name. Western Australia was found to have the most financially fit people at 36 percent while the seniors or retirees aged more than 64 were classified as those with stable finances at 35 percent.

Amidst this situation, people frequently using credit cards are the most prone to accumulating debts. This translates to little or no savings and high outstanding credit balances and loans. Many users of the plastic are unaware of the high costs involved including the hidden charges the reason why they easily accumulate a high balance which only takes them by surprise when they receive their monthly bills.

Attitude has a lot to do with debt accumulation that leads to an unstable financial situation. If people are careful of the way they spend their money, there will be lesser chances of facing hardships when it comes to managing finances.

Take for instance paying off balances, if only credit card users will freeze the use of their plastic and focus on repaying their debts using a single loan such as a cash advance or payday loan, they will surely be able to cut down on their debt. Short term unsecured loans are easy to avail of these days especially for employed people with a current bank account. The repayment terms are easy and affordable as well it will let you manage your finances better.

Comments

You must be logged in to post a comment.

Other links
- Understanding Money

Recently Written

Categories

Archives

Blogroll

Admin

Search

Feb

22

Many Australians Financially Unstable

Comments

Other links