MEDIA RELEASE

NICK XENOPHON M.L.C.

INDEPENDENT NO POKIES MEMBER OF THE LEGISLATIVE COUNCIL  

      YOUTH DEBT FORUM TONIGHT TO HEAR OF TEEN DEBT EPIDEMIC AND MOVES FOR REFORM  

NO CREDIT FOR BANKS IN TEEN DEBT CRISIS

·       Meeting to be a springboard for legislative reform to clamp down on banks and other financial institutions

A public meeting being held tonight at 7.30 pm at the Broadview Uniting Church Hall (corner Collingrove and Galway Avenues, Broadview) will hear how lax consumer credit laws and aggressive bank practices have fuelled a youth debt blow-out.

The meeting, an initiative of Broadview Uniting Church Minister Graham Pitman, will feature a key note presentation from Catherine Wolthuizen, National Finance and Policy Officer of the Australian Consumers Association.

Ms Wolthuizen will outline how bank practices on credit have fuelled the boom in youth debt, and refer to potential legislative reforms.

A senior representative of the Australian Bankers Association - Ian Gilbert - will also be attending the meeting.

The Youth Debt Forum will also look at mobile phone and gambling debts for young people and the impact debts can have on their long term financial viability.

No Pokies MLC Nick Xenophon who has been asked to chair the meeting said that he plans to introduce legislation to clamp down on aggressive lending practices, including credit card providers making unsolicited offers of increased spending limits on cards.  Similar legislation was passed in 2002 in the ACT Parliament.

“Youth debt is at the sharp end of the growing level of consumer debt generally.  If young people are getting in trouble now it could affect their financial viability for the rest of their lives.”

“During the Dunstan era South Australia used to be the pace-setter for consumer protection legislation – its time to get that reputation back and give consumers real rights against large financial institutions that aren’t doing the right thing.”

Written and authorised by Nick Xenophon, 653 Lower North East Road, Paradise, SA 5075