Government should concern the rising of house hold dept

Yayasan Pendidikan Kawasan Bandar Tun Razak Chairman, Mr Chew Yin Keen said that recent comments from Malaysia Department of Insolvency on the  household debts rose up to RM667 bil has to be addressed by all partners concerned especially the Government.

Many consumers failed to repay the bank loan and eventually became bankrupt. Federation of Malaysia Consumers Association (FOMCA) said that 47% young working adults are in serious debts problem.

Therefore, the Government should create a special task force responsible in create awareness through seminars and education conferences on good financial management to the students and young working adults so that they will learn a better way to manage their finance.

The Banks should set aside a sum of money to finance the financial management campaign, which targeting the young adults and the students. Programs such as financial management camp must be organized by the Banks for their students – customer during school holidays or semester break for undergraduates. In long term, this will help to reduce the household debts. 

In addition, the schools and parents should educate the children the saving habits and spend prudently at an early age. Saving habits must be part of our culture and in long term, this will further enhance our ecomony.