By Lorna Tan

On Sept 13, about 500 bankrupts will be taught money management in a three-hour seminar at Singapore Polytechnic.

Lecturers from its School of Business will focus on budgeting, managing credit and the cost of incurring credit-card debt.

According to the Insolvency and Public Trustee's Office (Ipto), the programme started in 2001. It came about because a lack of financial management awareness is a key cause of bankruptcy.

It is compulsory for bankrupts to attend the seminar once during the course of their bankruptcy. The cost is about $53.50 per person, which covers the polytechnic's administrative costs.

The bankrupt need not pay directly, as these costs are deducted from his estate in bankruptcy.

Ipto is planning to conduct two such seminars this year, up from once a year in the past.

Of late, there have been reports that more bankrupts now owe larger sums and more people under 30 are facing bankruptcy. From Jan 1 to April 24, 621 people owing about $224 million in total were made bankrupt. This means each had an average debt of $360,000.

What does it mean to be bankrupt?

Many are unaware that it comes with several restrictions on one's personal freedom and that it has long-term consequences.

Here are some frequently asked questions about bankruptcy: