Household Over-indebtedness: Understanding its Extent and Characteristics of those Affected. (1st July 2016)

• Record Type: Journal Article
• Authors: Ntsalaze, Lungile; Ikhide, Sylvanus
• Is Part Of: Journal of social sciences. Volume 48:Number 1/2(2016)
• Page Start: 79
• Page End: 93
• Publication Date: 2016-07-01
• Subjects: Definitions -- Descriptive Analysis -- Household Debt -- Indicators -- National Credit Regulator; Social sciences -- Periodicals; 300.5
• DOI: 10.1080/09718923.2016.11893573
• Languages: English
• ISSNs: 0971-8923

Abstract

Abstract: Household over-indebtedness has become a matter of concern across the world, in so far, as its social implications are concerned. The objective of this paper is to provide a snapshot of the prevalence of overindebtedness, using various indicators, and describe which households are over-indebted. In terms of the National Credit Regulator indicator, 8 percent of South African households are over-indebted. Results also show that, under the unsecured debt indicator, 15.2 percent of households are over-indebted, and 11 percent of households are driven below the relative income poverty line after making debt repayments. Most over-indebted households are found in the lowest income category, do not receive government grants and have an unemployed household head.