In December last year, 23.1 million South African consumers had at least a credit card, personal loan, vehicle loan, home loan or retail loan account. This is according to the 4th quarter 2021 Consumer Default Index (CDI) report released by credit bureau Experian, which measures and reports the rolling default behaviour of South African consumers holding these products.
As a nation we’d amassed R1.94 trillion in outstanding debt, which comes as little surprise considering how much we rely on credit, and often mismanage it, to our immediate and long-term detriment. Preventing mismanagement starts with understanding it, and that not all credit is created or offered equal.
Unsecured credit
The Experian report also found that the CDI improved in 2021, which the bureau attributed, in part, to lenders’ stricter criteria for…