Default in the city of SP is the highest since December 2019, says FecomercioSP

The delinquency of households in the city of São Paulo reached 21.8% in February, the highest level since December 2019 (22.2%), according to the Consumer Indebtedness and Default Survey (PEIC), of the Federation of Commerce of Goods , State Services and Tourism (FecomercioSP).

Altogether, 872,000 families in the capital had outstanding debts by the due date.

Among defaulters, 8.3% of households reported that they should not be able to pay off debts, the biggest reason since July 2021. Altogether, 48.2% of defaulting households have payments overdue for more than 90 days.

Between October and February, the average delay time increased from 62.8 days to 66.1 days, reported FecomercioSP.

The delinquency of families with an income of less than ten minimum wages rose from 24.6% in January to 26.4% in February. Among families with incomes above ten times the minimum wage, the rate increased from 9.3% to 10.2%.

indebtedness

The survey found that 73% of São Paulo families were in debt in February. The rate represents stability in comparison with January (73.1%), but an increase of 13.8 percentage points compared to the same period in 2021 (59.2%).

The number of credit card debtors fell from 89.4% in January to 87.4% in February, the first drop since August 2021. FecomércioSP also found a drop in indebtedness in booklets (22% to 20.4%). and personal credit (10.6% to 10%).

Between January and February, the indebtedness of families with an income of less than ten times the minimum wage dropped from 76.4% to 76.2%. For families with incomes above this mark, indebtedness rose from 63.5% to 64.0%.