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Argentina household loan delinquency hits 20-year high
Argentina is facing a significant rise in banking delinquency, with household loan defaults reaching 12.9% in July. According to the Central Bank of the Argentine Republic (BCRA), this represents a 20-year high and more than doubles the delinquency rate from the previous year, which stood at 5.6%.
Specific sectors show varying levels of distress. Personal loan delinquency rose to 16.7%, while credit card defaults reached 12.8%. Corporate loan delinquency also increased slightly to 3.6%. The BCRA attributed the rise to a real reduction in the total financing stock and a real increase in the irregular portfolio.
In response to the rising debt, major financial institutions have launched refinancing programs. Banco Nación has introduced options including UVA-indexed loans with a 7.5% TNA and peso-based refinancing at a 25% TNA for timely payers. Similarly, Banco Ciudad has reduced its interest rate to 28% TNA for personal loans, credit cards, and microcredits under its Family Debt Relief Program.
Entities
Argentina · Banco Central de la República Argentina · Banco Ciudad · Banco Nación · Buenos Aires · Central Bank of the Argentine Republic
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 4 SOURCES] Banco Ciudad reduced the interest rate for refinancing overdue personal loans, credit cards, and microcredits to 28% TNA. bankmagazine.com.ar · www.somosjujuy.com.ar · cuestionentrerriana.com.ar · www.planm.com.ar
- [● 8 SOURCES] The estimated probability of default (PDE) for families was 3.9%. www.losprimeros.tv · diariosanrafael.com.ar · www.primerafuente.com.ar · frenteacano.com.ar · www.elpaisdiario.com.ar · +3 more
- [● 5 SOURCES] Credit card delinquency reached 12.8%. www.adnsur.com.ar · economis.com.ar · www.diariolavozdelchaco.com · tn.com.ar
- [● 4 SOURCES] Banco Nación offers a 25% TNA for peso-based refinancing if installments are paid on time. labandadiario.com · tucumandigital.com.ar · www.expresdiario.com.ar
- [● 11 SOURCES] Delinquency for corporate loans was measured at 3.6%. www.losprimeros.tv · www.adnsur.com.ar · diariosanrafael.com.ar · www.primerafuente.com.ar · economis.com.ar · +5 more
- [● 5 SOURCES] Family loan delinquency reached 12.9% in July, a 0.1 percentage point increase from June. www.losprimeros.tv · www.adnsur.com.ar · diariosanrafael.com.ar · www.primerafuente.com.ar · economis.com.ar
- [● 15 SOURCES] The current family delinquency rate is the highest recorded in over 20 years. www.losprimeros.tv · www.adnsur.com.ar · diariosanrafael.com.ar · www.primerafuente.com.ar · economis.com.ar · +9 more
- [● 5 SOURCES] Personal loan delinquency reached 16.7%. www.adnsur.com.ar · economis.com.ar · www.diariolavozdelchaco.com · tn.com.ar
- [● 16 SOURCES] Family loan delinquency reached 12.9% in July. bankmagazine.com.ar · frenteacano.com.ar · www.losprimeros.tv · www.planbnoticias.com.ar · www.diariolavozdelchaco.com · +10 more
- [● 10 SOURCES] Corporate loan delinquency was measured at 3.6%. frenteacano.com.ar · www.losprimeros.tv · miramardiario.com · www.planbnoticias.com.ar · www.diariolavozdelchaco.com · +5 more