Financial abuse rise fear

ONE in four Australians have experienced some form of financial abuse and this is expected to worsen as the pandemic continues.

New findings from YouGov, on behalf of the Commonwealth Bank, show that of 10,000 Australians surveyed, 26 per cent of adults had suffered some form of monetary abuse. Another 12 per cent knew someone who had been a victim of it.

Financial Counselling Australia chief executive Fiona Guthrie said family violence rates were “skyrocketing” during the lockdown, which often resulted in financial problems among couples.

“It harms people so the first step is to recognise it and, depending on the situation, you need to think about how you are going to get control over your own financial situation,” she said.

“Sometimes people have to set up secret bank accounts.”

The research found that of those who had experienced financial abuse, the most common behaviours included:

THE perpetrator using all their partner’s wages for household expenses, while spending their own money on themselves (61 per cent);

ASSETS were hidden (56 per cent);

THE perpetrator took complete control of their partner’s finances (55 per cent); and THE perpetrator refused to contribute to the household expenses (55 per cent).

Ms Guthrie said fewer people had sought free financial help during the pandemic because millions of Australians had increased JobSeeker allowances and were able to access their superannuation early.

“We worry it’s the calm before the storm,” she said.

The Commonwealth Bank has announced it is increasing its support for those suffering financial abuse caused by domestic and family violence.

The bank’s chief executive Matt Comyn said financial abuse was a common problem and more help needed to be available.

“It’s a hidden epidemic in our country that has directly affected one in four Australian adults and we want to change that,” he said.

The bank is rolling out a partnership with charitable organisation Good Shepherd to provide free access to people suffering family violence no matter who they banked with.

In you are experiencing domestic or family violence call 1800 RESPECT.