mostly in western Switzerland and Ticino
More than half a million people in Switzerland are highly indebted
The debtor ratio in Switzerland rose slightly at the end of July compared to January. The centers of hyper-indebtedness are western Switzerland and Ticino.
At the end of July, slightly more people were in debt in Switzerland than in January.
At the end of July, slightly more people were in debt in Switzerland than in January. Western Switzerland and Ticino have the highest debt ratios.
Between January and July 2022, the debtor ratio rose to 6.4 per cent from the previous 6.3 per cent, as announced by credit agency CRIF on Wednesday. During the pandemic, debt has collapsed due to support measures. Now they are rising again with a certain time interval – similar to the bankruptcy of the company.
In absolute figures: The number of hyper-indebted people in Switzerland increased by 3,615, from 553,344 in January 2022 to 556,959 in July 2022.
High rates in western Switzerland
The canton of Neuchâtel is the only canton with a debtor ratio in the double-digit range – more than one in ten people have debt. In general, the French-speaking canton and Ticino, with a rate of over 7 percent, are among the cantons with the highest proportion of indebted residents.
This is nothing new, as Heidi Haug from CRIF points out: the cantons of western Switzerland have high unemployment and, among other things, have always had a high debtor rate. Overall, credit in areas that were already more severely affected – including urban cantonments – increased more than in areas with less indebtedness.
According to information, people in central Switzerland are more willing to pay: the cantons of Appenzell Innerhoden, Zug and Obwalden have the lowest debt rates in Switzerland.
Men are more likely to go into debt
There are also differences between the sexes: Overall, men are more indebted than women. CRIF found the highest loaner rate among men between the ages of 38 and 41. Among other things, many people of this age buy their own home, as Haug points out.
In general, surveys show that women are more mindful of their finances than men, according to a CRIF spokesperson. However, between the ages of 18 and 25, men and women are still equally indebted.
To determine the quota, the institution takes into account all private individuals who have debt enforcement proceedings from continuing requests, bankruptcy and loss certificates. The survey also includes the paid experiences of over 10,000 companies in Switzerland. This was done at the end of July. (sda/euro)