The debt of citizens with banks increased by 82 percent in one year

The new economic policy implemented by the government since December 2021 has further indebted citizens.

The policy implemented by the government, which was set to abandon the low-interest policy in the framework of returning to ‘rational’ policies after the elections, dumped the citizens’ debts to the banks before the elections.

The total amount of consumer loans and credit card spending increased by 82.5 percent from 1 trillion 143 billion lira to 2 trillion 87 billion lira in the period from June 2022 to June 2023.

According to data from the Banking Supervision and Regulation Agency (BDDK), the amount of consumer loans used by citizens from banks increased by about 500 billion lira in the past year, from 878 billion lira to 1 trillion 366 billion lire.

According to BRSA data in the first week of June 2023, the largest increase in loans in the last year was in auto loans with a rate of 275 percent.

Between June 2022 and June 2023, the total amount of used consumer loans from banks increased from 521 billion lira to 851 billion lira.

Home loans rose 29.6 percent to 434 billion lira from 334 billion lira, and vehicle loans increased from 21 billion lira to 80 billion lira.

Retail spending on credit cards rose 172 percent, from 265 billion lira to 721 billion lira.

NUMBER OF DEBTORS INCREASES BY 2.1 MILLION PEOPLE

According to data from the Turkish Bank Association Risk Center, the number of people using personal loans (excluding non-performing loans) increased by 2.1 million in the last year to 38.5 million, while the average balance of loans was 49 thousand TL. .

In March, 173,000 people used credit cards for the first time and 170,000 people used consumer credit for the first time.