By Kalsum Mohammadin
KUCHING: Bankruptcy often causes phobia especially among young people who fear losing their self-esteem because of their lack of financial standing or status.
A bankrupt person may suffer from stress and will not be able to manage his/her finances wisely.
According to Bank Negara Malaysia’s (BNM) data in December 2019, as many as 60 percent of young people were declared bankrupt.
The statistic has raised concern that young Malaysians are not managing their finances wisely or spending more than they earn and eventually being declared a bankrupt.
This dilemma is attributed to fashionable trends often associated with youth and affluence, a chic personality and spending on credit.
This leads to spending based on wants and not based on what a person needs — hence showing a lack of knowledge in managing one’s finances.
Norhashima Mior Jamaludin
We should plan our finances wisely. Spend money only on things that are important and avoid pleasure spending or spending beyond our means that can result in getting indebted.
Mackson Jimbun
Poor financial management skill or lack of knowledge on financial management causes them to be declared bankrupt. Those with low income should avoid owning credit cards or buying cars without paying down-payment or deposit as it will incur huge monthly repayments.
Mohd Sofhi Masli
It is very sad to find that the youth who still have a long way to go in their lives, are declared bankrupt. Perhaps they are spending more than their monthly salary and the rising costs of living resulting in them incurring huge debts. Some may have made huge bank loans just for a lavish wedding ceremony which becomes a burden after marriage.
Siti Hawani Saderi
Spending more than their income is often the cause of bankruptcy among young people. Spending based on lust which does not match their income will eventually burden them with debts and causes stress.
Norhasimah Mokhti
Young people are too often in line with the latest trends; peer pressure also causes them to buy certain thing even though it is beyond their means. Then they can’t afford to pay because they may be out of job and it is difficult to get a job with the current economic situation.
