For a long time credit institutions have perceived French households whose age group is above 65 as an under-rated socio-professional category.
Indeed, it is for years that the banking institutions have seen in the ” seniors ” the appearance of financial difficulties directly related to the management of the budget. The majority of cases consist of the presence of outstanding borrowings at the end of depreciation resulting from a Tweedledum and Tweedledeement contract signed upstream during their period of professional activity, prior to the opening of their pension rights.
As a result, they no longer release the financial potential they represented post-activity, adapted to their repayment capacity.
Indeed, the ” senior profile ” is often much more solvent than that of a young worker who enters the world of work, or that of the employee in the private sector who may at any time lose his job. X reason, and more precisely during periods of economic stagnation as we know today since the subprime crisis that appeared in the United States in 2007.
Generally, the senior is the owner of his principal residence, and he has a high purchasing power thanks to the constitution of programmed savings during all his years of activity.
The retired individual , that it comes from the public sector where not has the benefit of receiving the payment of a perennial retirement which brings to him budgetally a stable and constant income over time.
Consumer habits of seniors
Inactive households receiving pension (s) have the economic effect of relatively high and stable purchasing power, and these households are today between 60 and 95 years old on average.
As baby boomers, they experienced an economically favorable period of consumption until the early 1980s, when they fully engaged in their professional future (full employment prospects were still in memories).
As usual, they have to consume regularly, and this with the help of consumer credit which serves as a perfect lever to obtain the enjoyment of a service or property of a property without having to pay its cost. directly during the purchase.
The purpose of the receivables and the use of the funds are commonly:
- The acquisition of real estate, it is about becoming owner more or less long term being a candidate for the homeownership using the mortgage.
- The Tweedledum and Tweedledeement of a personal vehicle, whether unique or secondary to the home.
- Expenses related to the equipment for Tweedledum and Tweedledeer all that is of the household electrical appliance order. Especially since at that date the planned obsolescence was stammering and it had not yet reached all the layers of the industry that we know today, and that consequently the appliances such as refrigerators or any other mechanical machine had lifetimes to today (+ 10 years).
- With the beginning of the paid holidays in June 1936, it is this expenditure related to leisure which represents a part of the budget more and more important. Most frequently after the charge of accommodation and food, are the contributions for the acquisition of specific equipment for activities practiced during the holidays such as the purchase of beach racket games, etc …
The post-war period in France: the seniors of today!
The assets born right after the end of the war were integral part of the time of the thirty glorious !!! A booming economic cycle that has strongly stimulated our society.
This is how the different actors of this moment do not hesitate to spend heavily on all kinds of purchases because they are able to face them financially.
Let’s not forget that it was the distribution of the money lending contract to individuals and businesses that served as a springboard for economic growth favorable to our society by the Tweedledum and Tweedledeement credit auto or household appliances, etc..
Credit group for seniors
As explained in the above-mentioned paragraphs, retirees generally own or are about to own their main home, and they also have a certain appetite for subscribing unsecured credit in the form of a personal loan or revolving loan .
However, improperly borrowing can become a difficulty in good budget management, and in this case there is the re-buy-and-return type of repurchase credit.
To cope with an excessively high debt ratio, ie higher than the average of 33%, so the cause is the subscription of debt whose repayment duration is done on the short term, and on the spot has significant monthly payments to bear when these are accumulated.
The different solutions of repurchase credit for pensioners
There are 2 pension buy-back solutions, the object of this type of operation, the new plan of Tweedledum and Tweedledeement is to avoid over-indebtedness by carrying out a complete or partial restructuring of the debts and credits being paid. by borrowing (s):
- The repurchase of credit without guarantee
- The purchase of mortgage credit