A pan-Baltic study by Kantar Emor showed that the use of consumer loans and installment plans, as well as attitudes toward them, vary significantly among residents of Estonia, Latvia, and Lithuania.
The most active users of credit products are residents of Lithuania, while in Estonia, consumer loans are approached with much more caution.
According to the study's data, over the past three years, 24% of residents in Lithuania, 22% in Latvia, and 18% in Estonia have taken out consumer loans. Installment plans are also most common in Lithuania – over the last three years, 36% of residents have used them, compared to 24% in Latvia and 20% in Estonia.
Kaisa Esko, a research expert at Kantar Emor, stated that this is the second time the consumer credit study has been conducted, and this year, in addition to the Estonian market, the markets of Latvia and Lithuania were also examined for comparison. "In Latvia and Lithuania, consumer loans are mainly used for large planned expenses – primarily for purchasing or repairing a car, as well as for renovating or furnishing a home. In Estonia, however, consumer loans are most often taken out to cover unforeseen expenses, indicating a different purpose for credit in different countries," Esko explained.
According to her, residents of Estonia are cautious in this regard. "Here, consumer credit and installment plans are viewed more as a backup solution," Esko added.
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