The repayments on consumer credit also increased further in the first quarter of 2015.
This is evident from the figures from Statistics Netherlands . These figures show that the trend of borrowing less and less of money in the form of consumer credit is continuing. This trend has been going on for years.
Repayments on consumer credit, other loans continue to rise
Where the repayments on consumer credit continue to continue, the balance on the other loans will only continue to rise. Unfortunately, it does not indicate which types of loans are covered. In our view, the chances are that these are loans in the form of credit cards, loans with shipping house credits and the like, these types of borrowing money, as well as the expensive overdrafts on the payment accounts, continue to increase.
Possible causes of repayments on consumer credit
We can identify a number of possible causes for the decline in the outstanding balance of consumer loans. Because these are not appointed in the research, however, these are speculations.
One of the main causes of the decline in the outstanding balance may be that virtually no interest credits are currently being provided. These are interest-only loans where you only have to pay the interest and the repayment itself has to do. This form of borrowing money is almost impossible to obtain.
Because almost all consumer loans are now provided in a form with repayment, it is therefore plausible to assume that this contributes to a decrease in the outstanding balance.
In addition, more and more personal loans are being provided. Unlike a revolving credit, there is no longer any possibility to withdraw withdrawals from your loan with a personal loan. This means that you will always pay off your loan at all times. Because this form of borrowing money is provided more, it is more likely that the total outstanding balance on consumer credit will fall further.
Do you want to pay more on your loan yourself?
If you want to make extra repayments yourself, or want to see if you can transfer your loan more cheaply to a loan with lower interest rates, you can of course always request a free and non-committal application for a profitable loan. We are happy to discuss the possibilities with you!