Hungarians remain pessimistic

Food

The negative outlook of Hungarians regarding the financial situation and future outlook didn’t improve in 2013 Q1, according to a new survey of Cofidis personal creditor. One in eight Hungarians can’t even cover monthly expenditures from their salary.

Some 89% of Hungarians are still pessimistic about the future, the quarterly research shows. More than half of the respondents (56%) said that their money is just enough till the end of the month after purchasing the most important things in the household. For 12% of them, though, it is not enough even to cover the basic needs. Nearly one-third of 18-69 years olds (28%) can afford extra expenses, but they are not able to save any money. Only 4% of them can put aside something from their salary. Personal loan provider Cofidis has published its quarterly survey, based on 500 interviews, since 2005.

Almost half of the respondents (45%) feel that their financial situation will worsen this year, the pessimistic proportion being higher among those with incomes below the average. Indeed, 39% of 18-29 years olds believe that their financial outlook will deteriorate in the near future, and only 1% thinks that the financial stability of the household will be substantially improved. Just 10% of respondents feel the situation slightly more positive this year, while 44% said that financial conditions remain same as in 2012.

Despite the fact that youths are most pessimistic about the future, they borrow more boldly. Higher educated members of 18-39 years olds with better-than-average financial conditions are planning to borrow at a higher rate than the average.

Overall, compared to the first three months of last year, the proportion of those who can satisfy their basic needs but can’t afford to buy anything else increased by seven percentage points.

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