Most Czechs deal with financial difficulties by borrowing from family members, mainly for small amounts of up to 5,000 crowns. According to a survey by Ipsos for Provident Financial, many Czechs are hesitant to discuss financial matters with their relatives.
Only around two-fifths of those surveyed discuss financial matters with their partners. In contrast, approximately the same number discuss their wages and salaries with extended family members, and a quarter partially share information about savings or investments.
However, when borrowing money from relatives, the hesitation disappears. Three-fifths of respondents confirmed they had borrowed money from a family member, with nearly half borrowing only exceptionally or no more than once a year.
Even though it is customary to borrow within a family, borrowers should still be aware that lending is still borrowing and establish their pre-agreed rules.