Juggling Finances Alone: Singles Struggle More with Debt in Germany
Struggling individuals without marital ties frequently resort to debt advisory services - Individuals without partners are statistically more prone to seeking assistance from financial advisors specializing in debt management.
If you're a single person in Germany, you might find yourself wrestling more often with debt compared to others. According to 2024 data from the Federal Statistical Office, more than half (51.2%) of those seeking debt counseling services reside alone.
On average, singles carry a comparatively lower debt burden of 30,858 euros compared to the country's overall average of 32,976 euros. However, men carry a heavier load, averaging 33,083 euros, compared to women, who owe an average of 27,650 euros.
When it comes to the reasons for overindebtedness, illness, addiction, or accidents (18.1%) and unemployment (17.4%) were the most prevalent factors. A deteriorated relationship or unsuccessful self-employment can also lead to financial hardships.
It's interesting to note that the age group most prone to seeking debt counseling is those between 35 and 45, making up over a quarter (28%) of the total.
Another intriguing observation from the data: the older you are, the more debt you tend to carry. People under 25 have an average debt of 11,269 euros, while those aged 65 and over lug around 46,847 euros.
While the younger generation is often in debt due to obligations with telecommunications companies, older individuals accumulate bank loans.
Now, let's delve a bit deeper into the roots of overindebtedness among singles in Germany. Economic pressures like sustained high interest rates and rising living costs can put a squeeze on borrowers, making debt more difficult to manage[1][5]. Personal finance management issues might also play a role, although specifics for this demographic remain unavailable.
As for how average debt changes with age, while data for singles in Germany is scarce, general consumer credit usage patterns suggest that middle-aged adults (35-54 years) hold more consumer debt and larger loans, such as mortgages[5]. The younger and older age groups usually carry less debt. This trend suggests that debt levels may increase during peak working years, then decrease as individuals age, pay down debts, or curb borrowing.
1.To address the high debt levels among singles in Germany, implementing community policy initiatives that focus on personal-finance management and vocational training for financial literacy could potentially help manage debt.2. Moreover, offering targeted vocational training programs in personal finance could equip singles with the necessary skills to effectively manage their finances, reducing the risk of overindebtedness.
