FACTORS INFLUENCING PERSONAL BANKRUPTCY AMONG YOUTH IN MALAYSIA

The objective of this paper is to explore the factors influencing personal bankruptcy among youth in Malaysia. This paper intended in creating more awareness and give more information to Malaysian about the importance of personal insolvency is due to the increasing of personal insolvency cases from year to year especially in 2016, 2017, and 2018 which involves 290,001, 300,958, and 303,415 cases. Some Malaysian have issues in financial literacy and it will lead to growth in personal bankruptcy cases if there is less initiative to avoid it. Other than that, the objectives of this paper are to discover whether a Non-Performing Loan, unemployment rate, and per capita income affect the bankruptcy cases in Malaysia. This paper using secondary data analysis using time series data yearly starting from 1985 until 2017 and it is consisting of thirty-three observations. The result showed Non-Performing Loan and per capita income are positively significant with personal bankruptcy while positively insignificant with the unemployment rate.