One in four Swiss broke after paying bills

More Swiss are cutting back on food-related purchases to stay within the monthly budget Keystone

More than one in four Swiss do not have enough money to go around after all the household bills are paid, according to the European Consumer Payment Report survey.  However, 60% claim to have a good handle on their finances.

The report was published on Monday by the group Intrum Justitia, which surveyed more than 20,000 people from 21 European countries.

By and large, the Swiss pay their bills on time, the report found. Debt, taxes and healthcare-related bills are the expenses most likely to be postponed beyond the payment deadline. Overall, the Swiss are more punctual with payments compared to last year, with an average bill payment delay of nine days.

“People want to do the right thing but the financial situation in Switzerland and across Europe makes it difficult for most,” says Thomas Hutter, managing director at Intrum Justitia Switzerland. He called for a honest dialogue on household debt and respectful treatment of those in difficult financial circumstances.

The cost of healthcare, high rents and the setback of loss of employment were cited as the as the main issues that contribute to the financial problems of Swiss people. However, on average, only 8% of those surveyed said their financial situation was badly of control.

Young people had a slightly higher tendency to mismanage their finances. A quarter of 15 to 24-year- olds would like more education on how to better handle money and monthly budgeting.

When finances are strained, the majority of Swiss surveyed are prepared to sacrifice luxuries like eating out or purchasing new clothes.  Compared to last year, more Swiss are prepared to cut corners on food purchases in order to stretch the household budget.