We are taking on more and more payday loans
Borrowing has reached an unprecedented peak for five years: more and more people are turning to financial institutions for loans. The average amount of payday loan taken is over one million forints. The vast majority of Astro Finance customers apply for a payday loan online.
Lending gained momentum and Hungarians borrowed HUF 10.92 billion in May 2014, according to the bank. According to experts, the growing borrowing mood is related to the fact that for the first time since the outbreak of the economic crisis, the mood of the population in Europe has improved and Hungarians are more optimistic about their outlook than in recent years and plan to increase their consumption.
It hadn’t been like this for five years
The rise is significant, as the crisis of confidence and the difficulty of repaying foreign currency loans prompted people to consider their plans for greater investment for the sake of financial security. However, the trend has now reversed: borrowing has not been as high as in May 2014 for five years.
“The good news is that people are increasingly confident that they will be able to pay back their borrowings by keeping their jobs and stabilizing their spending; this clearly explains why they dare to buy and borrow again, “said Duncan, Marketing Director of Astro Finance, who considers the increase in the number of borrowers as well as the increase in the amount of borrowed money a positive phenomenon. on average over one million forints at Astro Finance.
But what about a million?
Most of the clients of Astro Finance Bank use this amount of the loan, about half of them apply for home renovation and decoration of their home. Even if they cannot afford to spend money on a new home, this amount can still bring about a qualitative change in their immediate environment: new coverings for the bathroom, replacement of kitchen furniture, doors and windows, modernization of the heating system.
Many, one-tenth of those applying for a loan, also finance a car purchase. One million if you don’t even get a new car, but a good used car comes out comfortably.
More and more Astro Finance customers are applying for loans through the online channel: online applications have doubled compared to last year. Without having to visit a branch, saving travel and queuing is a convenient and easy way for anyone to get a loan through the Astro Finance website.