There is news that comes up and it seems that we no longer hear them, because they are so recurrent that we do not bind them. But it is worrying not to stop to think about what is happening with the granting of credit in Portugal.
With the premise that credit does not have to be something wrong at the outset, I can not fail to reflect on the significance of the data released by the Bank of Portugal regarding the granting of credit (May period). What is striking is not only the increase in credit in general, but the fact that it is the car loan that continues with successive growths.
At the moment the car loan has an increase of 32% of the amount financed compared to the same period of the previous year. We know that the automobile is a necessary asset for the overwhelming majority of the Portuguese, but is it synonymous with having to resort to credit?
Do not the existing payment facilities lead us to opt for something better than we need? I do not speak of any particular case, nor do I want to be accused of speaking out loud to say that the Portuguese live beyond their means, I just want to launch preventive reflection. That is, for those who feel that the economy is better and that is why it equates to change of car, I ask that you do not forget what we have lived in the last years. A credit is always a prison.
We are buying money to anticipate a present need. And the focus must be on the word “need.” It is not because there are better conditions than credit. I must do it if I have a need that justifies going to “buying money”. The durability of the car or the pleasure we take away from it, is independent of financial responsibility.
I may not even have the car, but the credit will always have to pay for it. We have witnessed the phenomenon of growing consumer confidence, but this confidence is not based on increased debt. Consumption is good for the economy but when it is based on excessive recourse to credit, we may just be pushing with the belly problems forward.