Average household debt over B134,000

[Flashermac]

Bangkok Post

2 Jun 2010

 

 

About 60 per cent of Thai households had debts averaging 134,699 baht last year -mostly in property loans, National Statistics Office director-general Jirawan Boonperm said on Wednesday.

 

Mrs Jirawan said the average monthly income per household was 20,903 baht nationwide.

 

She said 72 per cent of the income was wages and salaries while the other sources of income were from interest and welfare.

 

Each household spend an aveage 16,205 baht a month last year.

 

She said 34.2 per cent of household expenditure was on food and drinks, followed by accommodation and household items at 20.1 per cent. 17.71 per cent was on purchasing vehicles and travelling, while 12.1 per cent went on taxes, presents, insurance, interest payments [color:red]and the lottery[/color].

 

She said 60.9 per cent of households throughout the country had debts averagnig 134,699 baht each, and 67.7 per cent involved buying houses and land.

 

A total 82.4 per cent of households had debts inside the banking system. 9.7 per cent had debts both inside and outside the banking system, while the remaining 7.9 per cent had unconventional debts.

 

 

 

Link

[Nervous God]

I can confirm this is true

[Mekong]

 

Each household spend an aveage 16,205 baht a month last year.

 

 

Mrs Mekong nearly choked on her Green Tea reading that.

 

Per week more like

 

[gobbledonk]

 

Each household spend an aveage 16' date='205 baht a month last year.

 

[/quote']

 

Mrs Mekong nearly choked on her Green Tea reading that.

 

Per week more like

 

How many Thais earn enough to spend that much each week ? OK, how many Thais outside the BKK city limits ?

 

[Central Scrutinizer]

Many teachers don't make that (16k bht salary) every month on their teaching salary, let alone every week. But, most make a lot more on after school classes privately. Still, most I know here are in debt up to their eyeballs, having the available gov loans the teachers and gov workers can get. Lots of debt. The middle class is in love with credit and are in debt just like the rest of the world. It'll bite them in the ass one day.

[Mekong]

 

Each household spend an aveage 16' date='205 baht a month last year.

 

[/quote']

 

Mrs Mekong nearly choked on her Green Tea reading that.

 

Per week more like

 

How many Thais earn enough to spend that much each week ? OK, how many Thais outside the BKK city limits ?

 

A few million of them actually. Not all Thais are Goverment Employees, work in Service Industry or Work Bar, but you are unlikely to encounter such people sitting in a Soi 4 beer bar or down walking street.

 

 

[Flashermac]

<< Each household spends ... >>

 

Uh - household may mean 3 or 4 income earners.

 

Government teachers' pay starts low, but they recieve an automatic increase virtually every year, either 5% or 10%. Figure a teacher with 20 years experience is earning 25,000 to 30,000 a month. Senior teachers may be making as much as 40,000, but not many get to that level. They also get a pension of 50% of their salary plus complete medical insurance. It is common for teachers to marry another teacher, thus doubling their income. It is not as bad as it sounds!

 

 

p.s. Cent - it is very easy for teachers to borrow against their salary. That is what happens. They may borow to buy a house or car, and then have to get by on only half of their salary until it is paid off!

 

p.p.s. Gobble ... no way I could spend that much every week!

 

 

 

[acockasian]

I would be very interested to see the particular banks that this is owed to by nationality. Citi is always at the top in many countries...too big to fail in the US and always able to get a bailout or special tax concession.

[Central Scrutinizer]

Flash,

 

"Uh - household may mean 3 or 4 income earners."

 

OK, granted, but most I see are either one income or maybe two, usually husband and wife. But, many women supporting the family once Somchai has flown the roost for the new younger mia model, and pay squat for child support, if anything. Many single mothers with middle class jobs struggling to make ends meet, and in debt. Not a very rosy picture for many.

 

"Government teachers' pay starts low, but they recieve an automatic increase virtually every year, either 5% or 10%. Figure a teacher with 20 years experience is earning 25,000 to 30,000 a month. Senior teachers may be making as much as 40,000,"

 

Okay, so average then around 20,000 to 25,000 baht monthly per?

 

"but not many get to that level."

 

My point exactly. Most are not at that level.

 

"They also get a pension of 50% of their salary plus complete medical insurance."

 

Yes, half their salary after retirement. And yes, they do get some decent bennies. But with the cost of living rising here all the time that half salary retirement money no longer goes very far.

 

"It is common for teachers to marry another teacher, thus doubling their income. It is not as bad as it sounds!"

 

It's worse I fear. I see this very often here. Many teachers are married to teachers (or other 'professionals': nurses, gov worker), etc.

 

But I also see many in debt: new house, new car, new motocyke, computers, flat screen tvs, laptops, etc. All on credit and loans. Many are in debt up to their ears and get very small paychecks once the loan payments are taken out of their paychecks. See lots of 'keeping up with the Joneses/Somchais'. Same as back in the states really. Loads of debt, much of it unnecessary and quite burdensome to the families. They want it all, and they want it now. And their kids are worse and it seems many Thais just cannot say no, to their kids, or to keeping up with their neighbours and co-workers/friends. Thye are digging holes for themselves many will never be able to get out of.

 

Then they'll want debt relief just like the farmers want. :-) Same mindset.

 

JMHO, and what I see daily up here in Surin. I expect it is the same all over the country.

 

 

"p.s. Cent - it is very easy for teachers to borrow against their salary. That is what happens. They may borow to buy a house or car, and then have to get by on only half of their salary until it is paid off!"

 

Exactly. That is the problem, very easy credit, and many borrow over their means and have a hard time paying it back (or surviving on what they have left). It helps fuel the graft and corruption as well. Teachers can be as corrupt as the gov workers and cops and such.

 

 

[ThaiHome]

Bangkok Post

2 Jun 2010

 

 

About 60 per cent of Thai households had debts averaging 134,699 baht last year -mostly in property loans, National Statistics Office director-general Jirawan Boonperm said on Wednesday.

 

 

Well, what I get out of this is that over half the households in the country are buying their home and the average value of that is well over 100k.

 

Not bad for a feudal society badly in need of a complete of social revolution, don’t you think?

:content:

TH