Czechs Prefer Borrowing from Family Members for Small Amounts

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.