Categories: Stories

Why people get into debt

Nearly 30 000 debt judgments involving a total of R388.6 million were passed in South Africa in April according to Statistics South Africa. Some 72 003 summons for debt were also issued in the same month.

South Africans are increasingly pressure as the debt crunch catches up with them. According to the National Credit Regulator, 189 000 joined the ranks of bad debtors in the first quarter of this year.

There were 20.08 million credit-active consumers at the end of March. Those with bad debts increased stood at 9.53 million.

Despite this appalling picture there were 15.26 million enquiries from consumers seeking credit during the period.

The question, most people would want to know is: Why do people get into debt?

Answer

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Charles Rukuni

The Insider is a political and business bulletin about Zimbabwe, edited by Charles Rukuni. Founded in 1990, it was a printed 12-page subscription only newsletter until 2003 when Zimbabwe's hyper-inflation made it impossible to continue printing.

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