During the summer the Italians are confirmed as usual: their requests for loans remain concentrated on the home and, secondly, on the car. Both purposes, which cover more than 60% of the total loan applications presented, are not much moved compared to the previous month. This is what emerges from the most recent Good Lenders Credit Observatory of the Lite Lenders Group, where some interesting movements directly related to the summer stand out, that is, the Italians are increasingly thinking about holidays and, also for this reason, they are inclined to increase liquidity at their disposal.
Physiological corrections of requests for home and furnishings
In detail, the requests for loans that had the purpose of renovating the house in the period January-July reached 20.5% of the total (20.6% in research throughout June). Slight movement in the same direction also as regards the request for financing for the purchase of furniture, which settled at 15.4% of the total from 15.5% of the previous research. However, the physiological aspect behind this correction should not be underestimated: requests for loans for the renovation of a home have reached a historic peak during the past year, while those for the purchase of furniture have reached the top right in course of 2019.
The seasonal effect affects the car and promotes holidays
In relation to the loans required for the purchase of a used car, applications fell to 19.6% of the total from 19.8% recorded in the period January-June and those for new cars corrected to 7% from 7, 2%.
Both for the home sector and for the auto sector, these corrections could simply be the consequence of a seasonal effect, considering that those who plan to buy a new vehicle or renovate their home postpone the project almost always until later. summer. For these same reasons, in the research that ended in July, requests for loans with the purpose of hobbies, travel and holidays increased further, to 1.8% of the total from 1.7% recorded in June (after 1.5% consolidated in the first five months of the year).
More funding for liquidity
On the other hand, the hot season does not favor the realization of the projects, which most likely will be financed with the money that the Italians are putting aside. As regards liquidity, in fact, requests for financing for this purpose rose to 15.3% from the 14.8% recorded in the previous month (14.2% in the January-May period).
As regards the duration of the loans requested, it is noted in the half-yearly surveys – an extension in the short part of the curve and a contraction in the long part. The interest of Italians is also concentrated on the five-year period in the second half of 2019 (at 21.2% of the total applications for the whole of July, after 20.2% in the first half).
Average amount falling
In the same period the average amount slipped 10,463 dollars from 11,253, which represents the lowest level since the first half of 2009. From the analysis of the chart by amount classes it emerges that the most requested are those between 2,500 and 5 thousand dollars (29.2 % of the total) and between 5 thousand and 10 thousand dollars (29.2%).
The demand came mainly (31.8%) from people between 36 and 45 years old. And, as reported in the news entitled “Loans: in the summer light rates ”, the cost of a loan is now convenient.
Even in the summer, therefore, interest rates continued to travel to historic lows.