Indebtedness is high and affects 69% of families, says FecomercioSP

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Of every ten families residing in the capital of São Paulo, seven are in debt. This is shown by the Consumer Indebtedness and Default Survey (Peic) carried out in September by the Federation of Commerce of Goods, Services and Tourism of the State of São Paulo (FecomercioSP) with 2,200 consumers.

According to the show, last month, 69.2% of the population had some debt in progress. The survey points to the tenth consecutive evolution of indebtedness in the capital of São Paulo, a city that alone has a weight of 10.20% in the national gross domestic product (GDP).

Compared to September 2020, the increase was even more significant. It advanced 10.7 percentage points, which means that there are 2.76 million households with some type of debt, 81,000 more compared to the previous month, and an additional 442,000 families from September last year to September this year.

From an economic point of view, an increase in indebtedness is not necessarily a bad event, as it can indicate the supplying credit market, people consuming more or investing. The problem is when indebtedness statistics are accompanied by high defaults, which was what FecomercioSP detected in September.

Arrears jumped from 18.8% of total debt in August to 19% in September. According to Peic, in absolute terms, there are 759,000 families that were unable to pay the debt by the due date, 10,000 more compared to the previous month. In September 2020, there were 717,000.