The Australian Financial Security Authority today released the quarterly personal insolvency figures for Oct to Dec 2013. The debt agreement numbers came in at 2,589, the highest quarter on record ever. Considering FSA have a long history of having approximately 50% market share, I think we can safely assume that they are being kept busy with new clients.
When you compare prior calendar years, the overall growth is minor over the last year. I guess that’s why management do not call it a growth business, just a cash cow. FSA growth businesses are in lending.
I believe from memory that the Rudd government melded with the Bankruptcy Act around 2010, hence the drop off in agreements, even with the GFC .
I have lifted these words from the official government website.
The number of debt agreements in the December quarter 2013 is the highest number on record in a quarter. Debt agreements comprised 35% of total personal insolvency activity in the December quarter 2013.
Debt agreements in New South Wales and Queensland in the December quarter 2013 are the highest number on record in a quarter.
Looking forward to the half yearly release in February. I am hoping for a three cent fully franked dividend for the half.
I can only hope that FSA are helping these people that find themselves in strife and needing their help. I wish them well. Take it easy.
FSA Price at posting:
$1.24 Sentiment: Hold Disclosure: Held
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