Young And Bankrupt

Young people need to be financially knowledgeable to avoid falling into heavy debts and being declared bankrupts. It was estimated 70% of persons declared bankrupt (approximately 300,000) were the young. These groups are most vulnerable to incurring financial burdens such as personal loans, vehicle loans and credit cards.

Many young people believe in trends like quick rich schemes, for example. Actually, they know it is a fraudulent scheme, but sometimes they just want to try their luck. 

Insolvency Department director-general Abdul Rahman Putra Taha said on September 14 that 294,000 Malaysians were involved in bankruptcy cases due to hire-purchase, credit cards, personal loans, housing loans and social loans.

Abdul Rahman said, according to the department’s statistics, 70% involved those aged 35 to 45 years, and estimated around 18,000 to 20,000 individuals were declared bankrupt due to various reasons within a year.