Nordic Debt Collection Analysis 1 2021
Our latest edition of the Nordic Debt Collection Analysis shows that the Covid-19 pandemic has widened financial inequalities in society.
The report, based on millions of anonymised debt collection cases in Denmark, Finland, Norway and Sweden, shows that individuals on low incomes have been disproportionately affected by unemployment and payment difficulties, while those on higher incomes have seen their finances improve.
The report was released 23rd of March 2021.
Key findings from the report
The number of debt collection cases fell quickly when the pandemic hit the region, as governments introduced policies to mitigate hardship, creditors increased forbearance measures and consumer spending dropped.
The link between economic growth and credit losses has been broken – bankruptcies have fallen despite poor economic conditions.
Demand for credit has shifted from consumption to housing, representing a reduction in credit risk.