Family Budget And Debts Compared
The state of suffering of Italian families continues. According to the monthly report of the Enterprise Study Center, which analyzes the Bank of Italy data, in the last twelve months, from June 2014 to June 2015, the unpaid installments of households correspond to more than 35 billion, while those of family businesses at over 15 billion. At the same time, credit institutions are increasing, confirming the difficult situation of family budgets: a total of 9.9 billion more (+ 1.66%), having gone from 598.6 billion to 608.6 billion. Personal loans, on the other hand, decreased by 0.79% from 181.2 billion to 179.8 billion, as were home loans, which recorded a -0.14% from 359.4 to 358.8 billion; in contrast, consumer credit rose by 20.57, with a jump of 11.9 billion: from 57.9 billion to 69.9 billion.
For Paulo Anglore, President of Enterprise: “The credit situation remains a very serious situation and, faced with the increasing difficulty, both for families and businesses, in paying the installments of loanswe are witnessing an attitude of superficiality on the part of the institutions that should accelerate the launch of the so-called bad bank, that is to say a sort of machine to clean the banks’ budgets from the suffering that ends up curbing new disbursements. “
Indebtedness of families
On the subject of household debt, various European studies are available that highlight a number of interesting circumstances and confirm that debts play a central role in our lives. First of all, “Who is without debt cast the first stone”, one would think to read that:
- at least 18% of the population has on average a back payment,
- 15.5% have engaged in a lease for the purchase of a vehicle,
- 10.5% have a small credit,
- 10% have at least one debt to family or friends,
- 8% bought an asset in installments,
- 8%, at least, have a bank overdraft.
The purchase of a vehicle continues to be a priority, supported by massive promotional bombardment, on television and on social media, which enhances its high symbolic value. The new car is interpreted as an indication of economic well-being and a good social position. But often the financial commitment is underestimated, which can last for years and put the family and personal budget in serious difficulty.
As far as consumer credit is concerned, which accounts for more than 10% in households, it is directly linked to insufficient income compared to primary needs, such as food, medical care, rent expenses. It should be noted, however, that this insufficiency is not always objective, in the sense that the available sum could satisfy the primary needs, but a bad management of the family budget makes it inadequate. Finally, from the studies, it emerges that another important factor of imbalance of the domestic administration are the delayed payments of bills, taxes and administrative obligations, amounts that increase with the relative sanctions.The research also underlines the relevance of psychological attitudes that favor the mismanagement of money. In other words, the difficulty situation of the family or individual is not always determined by non-modifiable external causes, such as a low income or loss of work. In many cases there are attitudes, behaviors, false beliefs, which cause heavy and unnecessary indebtedness.For example, it has been established that only 10% of the population think it is difficult to keep their budgets under control, a belief that leads to overestimation of their possibilities; another 8% believe that it is lawful to satisfy a desire every now and then (a holiday, a motorbike, a painting, etc.) even if they can not afford it; only four out of ten say that it is necessary to economize in the best possible way.