Christmas buying

Latest data from one of South Africa’s consumer credit bureaux Experian South Africa shows that consumer debt in South Africa increased to about R1.63 trillion in outstanding debt according to the company’s latest Consumer Default Index (CDI). The report further states that the overall CDI increased from three point seventy-six percent in the second quarter to three point ninety-three percent in September, mainly due to an overall deterioration in first-time defaulters specifically across unsecured banking products, such as credit cards and personal loans. Meanwhile South Africa’s Finance Minister Tito Mboweni, during his mid-term budget warned South Africans of falling into a debt trap if they continued to spend more than they earned. Mboweni emphasised that, the reality is that the debt is growing at an unsustainable pace. So as we head into the festive season how can consumers be more thrift when it comes to their Christmas spending? 1. Stephan Engelbrecht, Fund Manager at Anchor Capital – a wealth and asset management business focussed on personal client relationships and a world-class investment process. (in studio) 2.Dawie Roodt, Chief economist at Efficient Group