Some 79% of respondents have a credit card Some 45% of Argentines just about reach the end of the month and 34% fail to cover their expenses, according to a survey by consultancy Brain Network carried out in September, which describes a picture of financial stress, rising debt and little capacity to save. Among those who had trouble paying, 40% use their credit card to cover shortfalls.
The study classifies respondents into three groups. The “Jugglers”, 57%, keep up with payments through frequent adjustments and a fragile balance; the “Up to date”, 22%, are more stable; and the “Overwhelmed”, 21%, have insufficient income and recurring arrears. People over 50 predominate in the first group, and those aged 30 to 39 among those facing the most severe difficulties.
Some 79% of respondents have a credit card. Besides using it to cover shortfalls, those who had trouble paying resorted to cutting spending, 31%; borrowing from family or friends, 23%; delaying payments, 17%; and taking out loans, 16%. In the past six months, 60% of those with bank debts and 65% of those owing digital finance platforms had difficulty paying. Among the “Overwhelmed” with problems, 21% took out a new loan to cover another debt.
“The market is not in default, it is juggling,” said Lionel Holzman of Brain Network, who recommended that lenders offer refinancing before the situation worsens. Some 45% of those in arrears say they have not received any such offer.
President Javier Milei recently challenged the idea that people cannot make ends meet: “If they really run out of money on the 20th, how do they live ten days without eating or drinking?” he said in Neuquén. According to the survey, 44% believe their situation will improve next year, 36% that it will stay the same and 20% that it will worsen.