In 2023, when loans were curbed, the emphasis in individual borrowing shifted to credit cards. Citizens’ credit card debt increased 2.5 times last year, exceeding 1 trillion TL and reaching a record level.
With high inflation and the increasing cost of living, citizens found the solution in credit cards. The increasing usage rate was also reflected in debt data.
After the election, the new economic management tightened monetary policy. With high interest rates and some tightening steps, loan usage decreased. However, decreasing loans were replaced by credit cards.
2.5X INCREASE IN CARD DEBT
According to data from the Banking Regulation and Supervision Agency (BDDK), credit card debt rose to a record level in 2023. The total amount of credit card debt, which was 446 billion lira in 2022, increased 2.5 times and exceeded 1.1 trillion lira by the end of 2023.
CONSUMER CREDITS DECREASED
Despite the increase in card debts, the decrease in consumer loans attracted attention.
During this period, consumer loans shrank by 12 percent.
In BRSA’s 2023 data, the expansion in vehicle loans stands out.
Opposite loans increased by 93 percent in 2023.
HOUSING LOANS ARE AT STOPPING POINT
In the same year, housing loans virtually came to a halt. Housing loans grew by only 22 percent throughout the year. When adjusted for inflation, this rate means a contraction of 26 percent.
When the 2023 debt report card is examined, the total debt of individual loans and cards reaches 2.7 trillion lira. Source: Aydin Post
