Most Bangkokians rely on housing loans

BANGKOK, October 11 (TNA) - A recent survey, jointly conducted by the Foundation for Consumers (FFC) and the Bansomdej Poll Center (Bansomdej Poll) of Bangkok-based Bansomdejchaopraya Rajabhat University, has found that most respondents in the capital rely on housing loans, followed by auto loans. Bansomdej Poll top executive Asst. Prof. Singh Singkhajorn told journalists that the joint survey on 1,171 random samples in Bangkok during August 24-28 found 77.5 per cent of them were indebted, most of whom, or 37.6 per cent, were obliged by their housing loans, followed by 28.2 who were obliged by auto loans and 18.8 per cent by non-formal loans. The Bansomdej Poll top executive said most of the respondents, or about 40 per cent, were, however, indebted less than 100,000 baht each, followed by about 30 per cent who were each indebted up to 500,000 baht and about 17 per cent who were each indebted up to one million baht. According to the Bansomdej Poll top executive, most of the borrowers, or 36.4 per cent, were the clients of commercial banks, followed by the clients of finance leasing companies at 16.7 per cent, while 15.3 per cent of them opted to borrow from lenders in the non-formal sector. Meanwhile, FFC Secretary-General Saree Ongsomwang told reporters that FFC will soon send a letter to the Ministry of Finance and the Bank of Thailand (BOT), asking for an approval of setting the ceiling of the lending interest rates under their loan programs to small-scaled borrowers, namely the Pico Finance of the Ministry of Finance and the Nano Finance of the central bank, to no higher than 15 per cent annually, from 36 per cent annually now, in order to help reduce the amount of loans in the non-formal sector with no legal protection for borrowers. (TNA)