SINGAPORE: The good times might still be here, but some Singaporeans are biting off more than they can chew.
After falling from a high four years ago, the downward trend of
bankruptcy petitions and orders is showing signs of reversing, while
the delinquency rate for credit cardholders is creeping up. Another
sign that Singaporeans could be facing cash-flow woes: Pawnshops are
enjoying brisk business.
ValueMax Group operations manager Yeah Lee Ching said some people run
out of cash before the next payday. "They pawn their items to tide over
the last week of the month and redeem their items after they get next
month's pay."
Noting that nine in 10 customers redeem their items, she added: "These
are not poor people. They own gold, diamonds and expensive watches."
In January, there were 292 petitions for bankruptcy and 215 bankruptcy
orders were passed, according to the Insolvency and Public Trustee's
Office. Last year, 268 bankruptcy petitions were filed and 230 orders
were passed on average each month.
According to data from Credit Bureau (Singapore), the number of
delinquent credit card holders has risen steadily. Last December,
14,379 defaulted on their bills — a 1.42-per-cent delinquency rate — as
compared to 11,346 and 1.16 per cent in July.
Most owe less than $5,000 each. The majority are between 21 and 44 years old, and men make up almost 70 per cent.
About 80 per cent of the delinquents have credit cards with at least two banks.
Still, the bad debts, while apparently widespread, appear fairly contained for now.
The responses from banks to TODAY's queries on property foreclosures seem to bear this out.
The three local banks said there was no discernable spike in the number
of flats getting repossessed. A DBS spokesperson added that neither
were there any increases in the number of foreclosures for commercial
and industrial properties.
Still, property market sentiments remain tentative. ERA Realty Network
assistant vice-president Eugene Lim said: "There is more bargain
hunting now. You don't see many people jumping in and buying
straightaway, unlike last year."
And it's not just the big-ticket purchases with which Singaporeans are
more discerning. NTUC FairPrice managing director Seah Kian Peng said
sales of its housebrand products in the last few months have been "very
encouraging".
sgpore market is too small ...
those who do not want to continue working for others,
or have no choice
go into biz.
FTs come and replace you if you leave sgpore or cannot work for less or know enough.
its a cruel world.
the world you helped determined.
Buy car somemore la.. Buy bigger and better one, eat more fuel, pay more loan interest.. Haha. They deserve it!
Buy bigger house and pay more renovation loan la, bigger electronic product ,eat more electricity. They deserve it.
I seen too many singapore live beyond their limit. less than $2200 per month, go buy 1.6 litre car and go patoh with gf. Never die before!!!
ERP, patrol parking fee, insurance and road tax going to kill u!
It is your personal responsibility to take care & watch your own spending......
If you want a Nice Car, Big Condo, Expensive Branded Watches.... make damn sure you could really afford it. If you can't paid up..... Only Youself To Take The Blame.....