Almost a third of Brazilian women are in default

Research released by the CNC also shows that 79.5% of women had some debt in February this year.

In February, 30.3% of the Brazilian women were in default, reveals the the Consumer Indebtedness and Default Survey (PEIC), carried out by the (Confederação Nacional do Comércio de Bens, Serviços e Turismo (National Confederation of Commerce in Goods Services and Tourism (CNC). Men, in the same category, account for 29.1% of defaulters.

The study also shows that 79.5% of women were in debt in February, which represents an increase of 1.1 percentage points compared to January. In the opposite direction, men had a drop of 0.1% in debt, compared to the same period. The survey points out that informal employment is among the factors responsible for women’s higher indebtedness, which causes income vulnerability.

The specialist in institutional, governmental relations and public management at the Fundação da Liberdade Econômica, Eduardo Fayet, explains that other factors within the Brazilian context also contribute to the increase in defaults in this period, such as the rise in inflation and, consequently, the loss of income.

“The second factor that has influenced a lot is the increase in interest rates. When a person goes into debt, with high interest rates, he obviously needs to pay more for the money he needs to take so that he can pay his bills. Another important factor is the employment/income ratio,” says Fayet.

Among the short-term modalities that have concentrated the indebtedness of the female public is the credit card (86.5%). Next is indebtedness in store books (19%) and payroll loans (5.9%). In other modalities, such as overdraft, personal credit, pre-dated checks, home and car financing and other debts, men outnumber the debtors.

Original Story: Diário do Comércio | News 
Photo: Photo by Bruno Neves in FreeImages
Translation & Edition: Prime Yield