Romanians take loans to support their children’ education – study

Cristina Blanaru Business, Marketing, Studies

Romanians take loans hoping they can improve their living standards and in order to invest in their children’s education, according to a YouGov study made at Provident Financial Romania’s demand. The study was made between April 12th – May 6th, on a sample including 1,478 people.

According to the collected data, 35% said that they are getting loans for mini-investments in their family’s comfort and 22% – to cover expenses related to their kids’ education. Also, 7 out of 10 Romanians that answered to the study said that fastness and the convenience of the offered financial services and products are the most important factors they take in consideration when they chose a financial institution.

9 out of 10 also said that they only borrow amounts of money that suit their financial situation and 94% say they analyze attentively the advantages and implications of getting a loan before signing a contract.

The main concern for 62% of Romanians is related to the pressure of the daily spendings over their personal budget, followed by their workplace stability (17%) and the costs related to their children’s education (7%). In the same time, 60% say they are more attentive with their daily spendings and 31% even manage to save money.

The research confirms that our clients’ financial decisions are made knowingly and that the most important factor in making those decisions is represented by the trust they have in the level and stability of their earned incomes. In the same time, seven out of 10 people said it will be difficult or impossible to procure money in case of emergencies and 6 out of 10 don’t have a bank account. We will continue to offer loans responsibly to this social segment oftenly overviewed by other financial institutions. This way, we try to offer our clients the possibility to be part of a beautiful story, when it matters to them

Ivo Kalik,

General Manager  Provident Financial Romania.

When it comes of Romania’s economic evolution in the next period, the opinions are split, with half seeing economic growth and an improvement of the situation or foresee the things will remain the same. In the same time,  37% expect an improvement of their financial situation either as a result of changing jobs or due to earning more money.

The study highlighted in the same time Romanians’ investments intents: 42% want to open a saving account, a third want to invest  in private pensions funds and life insurances.

YouGov research is part of an initiative that targeted the clients of UK group International Personal Finance (IPF) in all the 6 countries it is present: Romania, Czech Republic, Slovakia, Poland, Hungary and Mexic.  IPF is the 2nd biggest British employer in Central and Eastern Europe and one of the most powerful 250 companies listed on London Exchange .