Rise in late payments on Dutch mortgages

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In relation to yesterday’s post, the Dutch Credit Registration Bureau (BKR) announced that the number of people who fall behind in payments on their mortgages is still increasing. This indicator is defined as the number of payments later than 120 days after the due date, which apparently is a standard measure.

I can’t put the number in perspective – it is worrying that it is rising but 90.000 people being late on their mortgage does not sound very bad although it is nearly doubled from 2010. The big problem is of course that this number may rapidly increase if interest rates rise – because Dutch banks sold very generous mortgages in the 1990s and 2000s.

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