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Thursday 25 March 2010

THE RECESSION HAS ONLY JUST BEGUN

There’s been a lot of talk about the ‘end of the recession’, ‘recovery’ and ‘economic upturn’ lately, but I suspect that this ‘talk’ is just more hype by ‘big business’to get us into the right frame of mind to line their pockets even further.

In December last year, debtors began taking the threats of legal action seriously and started paying off their arrears and making regular payments.

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But, they have now come to realise that they can depend on our arduous court process and largely incompetent judicial system to ensure that it would take months, even years before they would actually be prosecuted, if ever.

This has resulted in a sharp increase in delinquent debtor behaviour this month. Nice sound to it no? Delinquent debtor behaviour.

So what can we expect and look forward to from next month and the rest of this boom Year of the World Cup?

1. A 24.8% increase in the price of electricity from 1 April
2. A 50c per litre increase in the price of petrol from 7 April
3. An average of 15% increase in municipal rates
4. A 15-20% increase in the price of Metrorail train tickets
5. Sharp increases in road toll fees countrywide
6. A 133% increase in airport taxes from August
7. Dstv’s full bouquet up from R499 to R529 and compact from R219 to R230
8. No annual salary increase ‘due to the economic downturn.’ (We can show you the figures)

The increases in electricity and fuel will no doubt push food prices and just about everything sky high and force inflation to way beyond government’s six percent upper limit.

My advice?

Stop stressing about not being able to service your debt.
Pretty soon you won’t be able to afford anything!
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