Argentines’ debt with digital wallets hits an all-time high

[MilHojas]

Argentines’ debt with digital wallets hits an all-time high as ‘irrecoverable’ loans double in 2025 - Buenos Aires Herald

Families allocate 33% of their income to repay virtual wallet and non-bank loans, according to a study based on Central Bank data

buenosairesherald.com

 

[mageesa]

Okay so I tried to find it online, but limited success. Is there 'personal bankruptcy' here to wipe the slate clean? It seems 'bad credit' is less of a punishment, with high interest rates and not a lot of mortgages; what ultimately happens?

 

[LuckyLuke]

with high interest rates and not a lot of mortgages; what ultimately happens?

I think it largely depends on the debt sector (commercial/private). But down here wage garnishments happen frequently and property liens as well. Those affected by bad credit are left searching for more informal, often (more) usurious loans. The garnishments also forces more people into informal wages and housing.

 

[rob0001]

Okay so I tried to find it online, but limited success. Is there 'personal bankruptcy' here to wipe the slate clean? It seems 'bad credit' is less of a punishment, with high interest rates and not a lot of mortgages; what ultimately happens?

There is bankruptcy but many people just negotiate with the bank involved to make payments.