RMIT & UQ research: payday advances a financial obligation trap for welfare recipients

RMIT & UQ research: payday advances a financial obligation trap for welfare recipients

Brand brand New studies have shown welfare recipients are utilizing payday loan providers to generally meet living that is regular consequently they are then caught in a financial obligation spiral, constantly indebted to 1 or even more loan providers for considerable durations according to Caught Short an Interim Report by RMIT University plus the University of Queensland and funded by nationwide Australia Bank and Good Shepherd Youth and Family provider. The study investigates the lived experiences of 112 individuals borrowing little, short-term loans from non-bank organizations in Queensland, NSW and Victoria.

Lead researcher, Professor Catherine McDonald from RMIT stated that poverty pervaded the life on most individuals borrowing from payday loan providers. “Seventy eight percent of research individuals had been Centrelink that is receiving help. Many strikingly, 37 percent of income-supported interviewees were Disability Support Pensioners despite the fact that they represent just 18 % of Australians whom get among the Centrelink re re re re payments talked about into the research,” Professor McDonald stated. Continuar lendo RMIT & UQ research: payday advances a financial obligation trap for welfare recipients