Mortgage belt feels the pinch

By Jade Lawton
SOME Casey and Cardinia residents are struggling to stay afloat as the global economic crisis hits Australia’s mortgage belt.
Job losses and mortgage stress have been reported by support services in the region.
Berwick Salvation Army Captain Karinna Exon said the charity had assisted 150-200 families in December, with the average monthly figure previously about 60.
“We are seeing families mortgaged up to the eyeballs,” she said.
“Things are just getting harder and harder; some are just getting to the point when they can’t afford the daily things you and I take for granted.”
Mrs Exon said the Salvation Army had been helping some people from the area that had lost their jobs, and new migrants who were struggling to find paid work.
Mrs Exon said emergency relief food hampers containing milk, bread, cereal and a few meals were popular.
They have also been assisting families with clothing, furniture and bedding.
In Pakenham, the 4Cs (Cardinia Combined Churches Caring) Food Bank is struggling to keep up with an increase in demand.
4Cs’ administration manager Sue Friend said that in the first six months of 2008, the charity had seen a 30 percent increase of people asking for help.
While the figures are not yet in for the latter half of 2008, she expects the demand has jumped 40-50 percent.
“We are seeing 150 to 175 people a week — and some of these people are representing large families,” she said.
Mrs Friend said people were asking for food packages and assistance in paying bills.
“They are not all low-income earners; we are seeing quite a shift.
“We are seeing the mortgagees and young families where both partners are working but they are still struggling. A number of times it’s because people have mortgaged themselves too high, or someone has lost their job,” she said.
Mrs Friend said 4Cs had a financial counsellor and a social worker to assist people, but that food services were strained.
“While the need is increasing, our stock is getting lower and lower. Just the other day we assisted nine people in the half an hour before we closed,” she said.
“Unfortunately while businesses are slowing down, we are getting busier.
“It’s a sign of the times.”