Personal finance, Credit | Economist warns: – Many may have a tough summer and autumn

(Telemarksavisa): Norwegians’ savings accounts are still being drained. As many as 32 percent answer that they cannot manage an unexpected bill of NOK 10,000, according to a Norstat survey carried out for Kredinor.

– There is no doubt that higher interest rates and troubled economic times affect Norwegians. Nevertheless, many Norwegians should be praised for planning well with a buffer account, and for prioritizing debt repayment in recent years. At the same time, our survey shows that many may have a tough summer and autumn, as one in three in the survey cannot manage an unforeseen bill like this. It is a worrying development, says Jon Berge, communications director at Kredinor, in a press release.

More Norwegians are now worried about their personal finances. Concerns have increased significantly throughout the autumn and winter.

In July last year, 24 per cent answered that they would not be able to cope with an unforeseen expenditure of NOK 10,000, but this proportion has now increased to 32 per cent.

– We are worried that more and more people are stating that they cannot manage an unexpected expense of NOK 10,000. This is equivalent to buying a dishwasher, or a minor repair at the car repair shop. What is particularly worrying is that young people are most vulnerable, with as many as 45 per cent answering that they will have problems, says Berge.

More are struggling

Norwegians’ inability to handle current expenses is another finding from the survey that worries the credit company.

People struggle more to manage current expenses in the last 6 months compared to previously.

The proportion who answer that they have problems occasionally or often has increased from 22 per cent in July last year, to as much as 30 per cent in April.

– At the same time, new statistics have emerged which show that more and more transactions are made through credit purchases. The interest-bearing debt is nevertheless stable, which points to people using their credit cards to postpone payments, but still manage to pay when due. It will be exciting to follow this development going forward, says Berge.