At the beginning of the year

Christmas consumption with consequences: Viennese seek help

(Bild: APA/TOBIAS STEINMAURER / APA / picturedesk.com)

After overcrowded shopping streets before the holidays, many Viennese are now struggling with an empty bank account. Debt counseling helps them to get their finances back under control.

On the weekends before Christmas, shopping streets had to be closed because they were too crowded. For some Viennese, however, the shopping frenzy is now taking its toll: their savings account is empty and their bank account is overdrawn. This is not a new scenario for the FSW debt advice service. Here, too, a significant increase in initial contacts was noticed at the beginning of the year.

"The danger around the holidays is spending more than you should. The psychological pressure to spend more is particularly high at the end of the year. When it comes to installment payments and consumer credit, there is always the danger of losing track. The amount of interest on the loan is often underestimated. And when the first installments are due at the beginning of the year, it's often the last straw that breaks the camel's back," says Bernhard Sell, head of FSW Schuldenberatung.

The psychological pressure to consume more at the end of the year is great. With the first installment payments at the beginning of the year, this is a dangerous combination.

Bernhard Sell, Leiter der FSW-Schuldnerberatung

New Year's resolutions can be another reason for a new registration, with many people resolving to sort out their debts now. And how does debt counseling help customers? "The best tip for the new year is to do an honest financial check. What expenses and what income do I have? How often do I order from the delivery service? How often do I go shopping? Do I need that third streaming service?" advises Sell.

The debt advice service has 20 percent more initial contacts in the first quarter of each year than in the fourth quarter of the previous year.

All services are free and confidential. One is the budget advice service, where income and expenditure are looked at. The second is classic debt advice, where a list of creditors is drawn up and specific repayment options are then discussed. If necessary, a judicial debt settlement (personal bankruptcy) is prepared.