Households across Australia are currently in record levels of debt, and for the first time ever, the figures have outraced the American levels. As per Reserve Bank figures shared, the current household debt, which is the combination of personal mortgage and debt, is almost equal to the Australian GDP.

The figures mean that every adult in Australia owes an average of $74,000, and analysts have warned that the financial crisis that hurt the Main Street in America recently, has good chances of hitting Australian families over the next year.

"We now have an enormous proportion of income that has to be devoted to paying back interest payments. Even if you leave aside the interest payment fact, if you want to reduce your debt now where it would have taken you on average for Australians back in 1990 it would have taken just a few months, now it would take them a year to get back down to the zero mark", said Economics Professor Steve Keen.

The Council of Social Service, on the other hand, has stressed that there already is a crisis, and unless the Federal Government steps in, things are only going to get worse.

Alison Peters, the Council's Director, has stressed that the Government needs to increase its support to try and keep the situation stable.