CRIF AG has once again calculated the CRIF rate of defaulting debtors in Switzerland*. The individual cantons and main cities in Switzerland were examined. Despite the favorable economic outlook, the rate of defaulting debtors has increased slightly compared to last year, rising from 6.1% to 6.13%. The number of defaulting debtors has increased to 522,486. A significant number of cantons in western Switzerland and some Swiss cities have an above-average rate of defaulting debtors.
Higher rate of defaulting debtors
The overall rate of individuals classed as defaulting debtors in Switzerland has reached 6.13%. This is slightly higher that the percentage recorded in 2018 of 6.1%. The number of defaulting debtors in Switzerland has increased once again from 517,962 in 2018 to the current value of 522,486. This is an increase of 4,524 compared to the previous year.
In some cantons, the rate of defaulting debtors has decreased or remained unchanged compared to the previous year. However, there are some significant differences between the various regions. The cantons with the highest rate of defaulting debtors are the cantons of Neuchâtel and Geneva with 10%, followed by Basel-Stadt (8.2%) and the Canton of Vaud (7.8%). Ticino (7.6%) and Jura (7.5%) also register rather high values.
Appenzell Innerrhoden has the best payers in the country and has the lowest rate of defaulting debtors (1.5%). In central Switzerland, the cantons of Nidwalden, Obwalden, Zug and Uri also have low levels of defaulting debtors.
Cities with a high rate of defaulting debtors
With regard to cities, the rate of defaulting debtors is generally higher than in rural areas. The highest rate of defaulting debtors was found in Biel with 11.5%, followed by Lausanne (11.3%) and Geneva (10.9%). Zürich, the largest city in Switzerland, is below the national average with a rate of defaulting debtors of 5.8%, the lowest among the cities analyzed.
Specific differences between cities and cantons
Comparing the rate of defaulting debtors in the largest cities with those of the corresponding cantons, the rate in Biel, 11.5%, is double that of the Canton of Bern, which has a rate of 5.6%. A gap between city and canton is also seen in the Canton of St. Gallen: the city has a rate of defaulting debtors of 7.8%, whereas the canton has just 5.4%.
*CRIF rate of defaulting debtors
In order to calculate the rate of defaulting debtors, CRIF has taken into account all individuals who are associated with bankruptcy, loss certificates and enforcement proceedings following requests for continued enforcement. In addition, CRIF has also used payment experiences from more than 10,000 companies across the whole of Switzerland. The data refer to January 31, 2019.
