Baw Baw bankrupts drop

The number of bankuptcies in Baw Baw Shire’s three main population centres dropped last year.

Across Australia bankruptcies rose by four per cent but Victoria bucked the trend being the only State to record a fall.

Financial data analysis by illion, formerly Dun and Bradstreet, said the number of people declared bankrupt dropped at Drouin, Warragul and Trafalgar last financial year compared to the previous year.

For Drouin the figure was 23, down two on 2016-2017, Warragul dropped from 22 to 14 and there were two bankruptcies at Trafalgar after there being six the year before.

Pakenham in neighbouring Cardinia shire had the most number of any suburb or town in Victoria with 96 for the year.

It was the fifth year in a row that Pakenham has had the most bankruptcies in the State and last financial year it ranked the second highest area in Australia.

Illion chief executive officer Simon Bligh said red lights were flashing across s3everal regions in terms of consumer stress levels.

He warned that in the current financial year there were indications a significant rise in personal bankruptcies that has occurred in Sydney could be mirrored in Melbourne where the property market is showing signs of a downward trend.

Mr Bligh also cautioned people that might be thinking of declaring bankruptcy to carefully weigh up their options.

“Bankruptcy has long term effects on a person’s financial position including their ability to borrow or even rent a home”.

People experiencing financial hardship should seek help from a financial counsellor, he said.