According to a recent survey by Norstat on the attitude of the population of Latvia towards debts, 78% of respondents, upon receiving information about a debt, would immediately pay the debt or contact the creditor or collectors.
At the same time, one in five (21%) would take no action or would immediately dispute the debt. 10% of survey participants admitted that they could not currently allocate even small amounts to repay the debt.
Only 22% of respondents would feel confident and would contact collectors to resolve the situation. Among the main reasons preventing people from dealing with debt through a debt collection company, respondents cited fear and uncertainty.
The majority of respondents (70%) agree that a person should be responsible for their debts. There is a growing understanding of personal responsibility and financial discipline in society, which could become the foundation for a more responsible "debt culture" in Latvia, the study notes. The greatest support for this idea was expressed by respondents aged 25 to 34, and Latvian-speaking respondents generally demonstrate a greater commitment to personal responsibility than Russian-speaking ones.
"Stereotypes about debt collection as a harsh and impersonal process still persist in society, however, in reality, modern debt administration in Latvia is transparent, strictly regulated, and fair," comments Inga Veide, chairwoman of the board of the collection agency B2 Impact.
According to the results, 38% of Latvia's residents view the reputation of debt collection firms rather negatively, while 7% view it rather positively. The overall perception of the role of collectors remains skeptical. However, there is a growing understanding of the importance of this industry: already 28% of respondents named effective debt administration as important for the functioning of the economy.
When asked how much they could personally allocate now to repay a debt — for example, for an unpaid fine or bill — 16% of respondents reported that they have sufficient savings for immediate payment. Another 12% could pay up to 50 euros, while one in ten admitted that they could not cover even a small debt.
This shows that a significant portion of society still lacks a financial "safety net" that allows for flexible responses to unforeseen situations.
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