Debt and use of banking services in 2008

Laurence Dauphin, division Revenus et patrimoine des ménages, Insee

In 2008, one in two household living in metropolitan France (mainland + Corsica) was in debt either to purchase real estate or to finance consumption. Borrowings were evenly divided between the two purposes. Real-estate loans were taken out by households with high living standards and a reference person aged between 25 and 54. By contrast, consumer credit involved all households. It therefore concerned a higher proportion of poor households and young households than did real-estate loans. These entail a heavier repayment burden than consumer loans, but the latter more often generate defaults and filings for overindebtedness relief. In 2008, 11% of households in metropolitan France had only one means of payment or none at all. Among these households, 80% had no loans outstanding and one-third qualified as poor.

Insee Première
No 1352
Paru le : 17/05/2011