South Africans defaulting on their debt repayments - Report

JOHANNESBURG - More and more South Africans are defaulting on their debt.

That is according to the latest Experian Consumer Default Index for the fourth quarter of 2023.

The index, measures the rolling default behaviour of South African consumers with Home Loans, Vehicle Loans, Personal Loans, Credit Card and Retail Loan accounts.

Credit compliance fell to 4.68 from 3.97 in the fourth quarter.

Home Loans and Credit Cards performed the worst.

This suggests that mid-to-high income consumers, who typically qualify for these high-end credit products, are finding it increasingly difficult to repay debt and continue to make extensive use of their credit cards.