Number of bad loans increases

The number of bad bank loans is increasing and altogether these reached 232,000 cases at present. This signifies that the capacity of the population to pay back their loans is dramatically decreasing.

Recently many bank credit cards have been blocked due to overdraft non-payment. Analysis shows that in most cases their holders are in the middle-income bracket. Officials say that this is not a dangerous situation yet but according to independent analysts it is a troubling tendency, as people whose cards have been blocked will not be able to take out loans for the next 7 years even if their financial situation improves.

The situation will become even more dramatic in the near future as most probably the banks will start taking away collateral such as real estate – houses and flats – from their debtors. Under the relevant legislation institutions which issue loans have every right to reclaim their money by selling a debtor’s property.