Aussie mortgage pain on the rise as National Debt Helpline reveals areas with most calls for financial help in 2024

Australia is grappling with a mortgage-led surge in cries for help to the National Debt Helpline.

Almost 170,000 people called the service or used its online chat in 2024, up by close to 19,000 (12 per cent) from the year prior — with some of the highest volumes on record in Victoria and the ACT.

Most other states have also recorded spikes as homeowners continue to grapple with interest rates at their highest level since 2011, with only South Australia’s figures declining.

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Financial Counselling Australia coordinate’s the website, and co-chief executive Peter Gartlan said the uptick was being led by calls about mortgages though a wide array of cost-of-living pressures were smashing Aussie households’ budgets.

“The increase in people coming to the NDH for help shows how difficult it is for many people at the moment,” Mr Gartlan said.

The top reasons for calls to the site last year were housing stress, led by mortgage concerns, but also included those worried about paying their rent, rates and body corporate fees.

Call volumes are now approaching pre-pandemic levels nationwide, though are higher in some states than others.

HOW MANY CALLS FOR HELP IN YOUR STATE

NSW: 39,263

Victoria: 35,562

Queensland: 29,118

Western Australia: 17,443

South Australia: 15,190

Northern Territory: 4845

ACT: 3875

Tasmania: 3311

Source: National Debt Helpline, 2024 calendar year

Mr Gartlan noted that calls had broadly been increasing since the Reserve Bank commenced hiking interest rates in May 2022, with the word “mortgage” knocking off “credit card debt” as the most common reason for calls.

Australian Banking Association chief executive Anna Bligh said banks around the country were helping thousands of people facing financial stress every week.

Some were offering to restructure loans to achieve lower repayments, others were allowing customers to move onto interest-only agreements and some were providing the chance to defer payments for a period.

“I urge anyone facing financial stress to reach out to their bank and get help,” Ms Bligh said.

“The earlier people reach out to their bank, the easier and quicker it is for banks to put support options in place.”

Utilities and credit card debt were next, followed by stress over personal loans and buy now, pay later arrangements.

Tax debts were also high on the list.

Residents of NSW made the most calls with 39,263 recorded over the year, its highest number since before the pandemic.

Calls from Victoria reached an at least seven-year high with more than 35,000 made over 2024, the biggest number since the National Debt Helpline began publishing stats in 2017. It is not known if there were higher call numbers prior to then.

Squeezed home finances are prompting a growing share of homeowners to seek help.

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Mr Gartlan noted that “mortgage” had been the presenting issue for 24 per cent of calls in Victoria with the number of calls relating to that topic doubling in the past few years.

And most states have recorded increases in mortgage related calls.

The ACT’s 3875 calls for financial concerns was also the largest number on record.

There were more than 29,000 calls made in Queensland, 17,443 in Western Australia, and 3311 in Tasmania, with the three states nothing their highest number of calls since before Covid-19.

South Australia was the only state to record a decline in calls from 2023, with the number falling from more than 17,000 to 15,190 in 2024.

Northern Territory residents made 4845 calls for help in 2024, its highest number since it almost reached 5000 in 2022.

Households are struggling to balance the books at levels not seen since before the Covid-19 pandemic reached Australia.

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Visits to the service’s website are also way up, with close to 647,000 recorded over 2024 — a 32 per cent lift from 490,522 in 2023.

Mr Gartlan noted that there had also been substantial increases around the nation for people struggling with buy now, pay later schemes, with increases in “wage advance” financial products also sparking similar levels of concern from the public.

Wider cost of living issues have also more than doubled the call volume to the Helpline in the past few years, while tax debt calls tripled across the past financial year.

Anyone who is struggling financially can contact the National Debt Helpline on 1800 007 007 or visit ndh.org.au for self-help and chat.

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