Barbadians’ credit card debt almost at $300 million

BARBADIANS have chalked up credit card debts to the tune of almost $300 million by the end of March this year. That amount has contributed to the 220 per cent increase in household debt over the last 20 years.

That’s according to the Central Bank of Barbados, which said that credit card debt totalled $295 million.

The bank revealed that overall household debt has moved from Bds$1.9 billion in December 2000, to $6.1 billion at March this year.

All of this is contained in an article published in the recently released 2019 financial stability report, which is an analysis of the health of the country’s financial system. It is published annually by the Bank and the Financial Services Commission.

Credit card financing is one of the three categories accounting for lending to households; the other two being mortgages and consumer credit.

The article focused solely on the debt Barbadians have at deposit taking financial institutions like commercial banks, trust and finance companies and credit unions. It did not include money owed to retailers that offer hire purchase agreements. (JB)