IDEAS home Printed from https://ideas.repec.org/p/cbi/fsnote/1-fs-24.html
   My bibliography  Save this paper

An overview of the consumer credit market in Ireland

Author

Listed:
  • Gaffney, Edward

    (Central Bank of Ireland)

  • Lyons, Paul

    (Central Bank of Ireland)

Abstract

This Note examines the non-mortgage consumer credit market in Ireland, which represents just over one-tenth of all household creditin Ireland. Consumer credit has trended upwards since 2016, within a context of overall deleveraging in the household sector. Consumer credit is characterised by smaller amounts, more diverse purposes and a broader range of lenders than the mortgage market. While banks continue to have a large share of outstanding consumer credit, credit unions, collectively, are the main lender for personal loan products. A large, stable share of lending also originates from other non-bank financial intermediaries. Consumer debt servicing costs have not increased significantly since the ECB started to raise interest rates in July 2022. Additionally, the pass through of interest rate increases to new consumer loan rates has been more muted in Ireland than elsewhere in the euro area. Furthermore, overall non-performing consumer loans at banks and credit unions remain near recent historical lows despite a slight increase observed in new early arrears cases.

Suggested Citation

  • Gaffney, Edward & Lyons, Paul, 2024. "An overview of the consumer credit market in Ireland," Financial Stability Notes 1/FS/24, Central Bank of Ireland.
    • Handle: RePEc:cbi:fsnote:1/fs/24
    as

    Download full text from publisher

    File URL: https://www.centralbank.ie/docs/default-source/publications/financial-stability-notes/overview-of-non-mortgage-consumer-credit-market-in-ireland.pdf?sfvrsn=5a19631a_10
    Download Restriction: no
    ---><---

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cbi:fsnote:1/fs/24. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Fiona Farrelly (email available below). General contact details of provider: https://edirc.repec.org/data/cbigvie.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.