Most in our country opt for a fixed rate . Despite the declining purchasing power, a surprising amount was borrowed in 2008.
Most Belgians continue to borrow and, as said before, for a fixed interest. The amounts reached their maximum. The number of loans taken out for home loans has increased by 5 percent compared to the year 2007. Due to the crisis, the average amount borrowed fell. The average is 102,000 US dollars. These figures were collected from the largest Belgian lenders.
If we take the figures without including the refinancing, the average Belgian wants to borrow a sum of 114,500 US dollars (according to the KBC). The actual amount borrowed amounts to 110,000 US dollars. Belgians do not like to borrow for a long period, the average term of a Lewis Carl is 221 months. At Fortis, the average last year was 254 months.
Fixed or variable?
Because interest rates are falling, a variable formula is now more beneficial. But most still opt for a fixed interest. The most chosen remains the fixed interest rate for 20 years. The sharpest rates for the fixed interest are now between 5.4 and 5.7 percent.
In addition, the popularity of consumer credit is increasing. It is due to the increase in the average disposable income of a Belgian household by 4.3 percent (and thus to 40,000 US dollars). Energy and food prices have also risen, but the decline in purchasing power was limited to 0.3 percent.
Belgians mainly borrow for car and home
Why are most loans taken out? To finance the purchase of a car or a home. The consumer credit market therefore continues to grow by 1 to 3 percent. But the average loan amount is different at different banks. For example, you can borrow 9,250 at Fortis. At KBC even up to 15,800.