Former high-flyer Peter Drake, founder of the collapsed global investment empire LM Investment Management, declared bankruptcy last Friday. He owed his creditors $337 million.

Despite a long history of being extremely wealthy and successful, the 59-year-old has had to resort to filing for bankruptcy after he was unable to pay back his debts as they fell due. The only assets he now owns are a block of land worth $500, two second-hand cars and a little over $1,000 in the bank.

Cases like these show that anyone can be affected by insolvency and bankruptcy.

In fact, most people are in some kind of debt, be it credit card debt, student or personal loans, or secured debt to purchase a property or vehicle.

Recent statistics released by banking and insurance comparison website Mozo reveal that Australian credit card holders are still struggling from their overspending during the Christmas period. 40 per cent of cardholders have inflated credit card balances and/or decreased personal savings.

If you need help exploring your options for managing your debt, CRS Insolvency Services can help. At CRS, our team of highly experienced insolvency specialists can help those who are considering bankruptcy or wishing to explore alternatives to avoid bankruptcy.

We provide impartial, expert advice on debt, bankruptcy, Personal Insolvency Agreements and Debt Agreements. Call our friendly staff today on 1800 210 073.