The Council of Ministers has approved a number of new rules regarding consumer credit, with which the government tries to protect consumers with a debt burden. The total number of Belgians in arrears has risen to almost 320,000, so it is time to do something about it. When we borrow money, we do so, among other things, to purchase a new car or a kitchen, but it is of course important to be able to actually repay the loan.
Huge debt burden
In total, we as Belgians had more than 21 billion euros in borrowed money outstanding. We spend it on cars, electronics and travel, among other things. According to Johan Vande Lanotte, the debt burden is a new form of poverty, which, incidentally, is almost invisible. We used to be poor when we had insufficient income, nowadays it is increasingly the debt burden that we are dealing with. We often make too many debts, for example because the interest rate is too high. It is very important to properly compare loans and thus ensure an affordable whole.
Borrowing money also costs money
Last week, Lenders Best launched a campaign to borrow money for a nice trip to the World Cup in Brazil, something that not everyone was positive about. The government is launching a new campaign that will make it no longer possible to give discounts on products in exchange for a credit. It is also forbidden to offer a credit by post, telephone or email, so that consumers always have the possibility to obtain sufficient information. Finally, every advertising message for a loan will then have to convey a message that reads ‘Pay attention, borrowing money also costs money’.
More than $ 1,000 in arrears
Consumers, in particular, are already borrowing money that often gets into trouble. It is therefore impossible to take out a new loan if you already have a backlog of $ 1,000 or more. From that moment on, it is better to concentrate on your existing loan first, so that you do not get into trouble. Do you have a smaller backlog? Then you can still borrow money, provided that you provide a good explanation. This should ultimately ensure that the number of Belgians with payment arrears will decrease, so that we can borrow money in a more healthy way.