Home mortgages, personal loans, and cars and appliances bought in instalments. Borrowing continues to grow, and for many families the burden of debt is becoming increasingly difficult to manage. In the first six months of 2026, 60.7% of adult Italians had at least one active loan, up 1.8 percentage points from the end of 2025. In 2022, that share stood at just 46%.
According to an analysis by Il Sole 24 Ore based on Crif and Istat data, cancelling the outstanding debt accumulated between mortgages and other loans would require, on average, nearly 20 monthly salaries. The calculation is theoretical, as it assumes an entire paycheck would go towards settling debts, without accounting for rent, utility bills, groceries or other expenses. Still, it offers a clear indicator of just how heavily financing now weighs on household budgets.
Nationally, the average outstanding debt still to be repaid is around €32,500, though the picture varies significantly from province to province. The main factors are housing costs, the prevalence of mortgages, and local wage levels. In Trento, it would take 32 monthly salaries to clear all outstanding debts, while Rimini exceeds 30. Prato and Bolzano require 28, whereas Frosinone and Biella need just 13.
The amounts owed also reveal a country moving at different speeds. In Trentino-Alto Adige, average exposure exceeds €57,000, while in Calabria it drops to around €17,000. A lower debt level, however, doesn’t automatically mean greater financial stability: in areas where wages are lower, even a smaller sum can become difficult to sustain.
The situation now risks becoming even more complicated following the European Central Bank’s latest rate hike, which pushed the cost of money from 2.25% to 2.5%. The increase will weigh most heavily on those preparing to take out a new mortgage or apply for a loan. In July, the average interest rate on consumer credit had already reached 8.68%, and a further rise could dampen financed purchases.
On the mortgage front, a jump in rates from 3% to 4.5% can translate into thousands of extra euros paid over the years. The rule of thumb remains not to let monthly instalments exceed one third of net salary. Beyond that threshold, it takes only an unexpected expense, a period without work, or rising utility bills to throw a household’s finances into crisis.
Meanwhile, the number of people seeking a way out of over-indebtedness is also rising. Between 2021 and 2025, applications to access legally provided debt-relief procedures nearly doubled, climbing from 4,785 to 9,483. Even more striking is the rise in applications for debt discharge for the insolvent without assets (esdebitazione dell’incapiente) — a procedure that allows, under certain conditions and only once in a lifetime, the cancellation of debts for those without sufficient assets or income to repay them: requests rose from 159 to 1,166, while approved cases increased from 24 to 238.
The picture, then, is twofold. On one hand, a growing number of Italians are turning to mortgages and instalment plans to cover major expenses or everyday purchases. On the other, more and more people are struggling to keep up with payment deadlines. With wages lagging behind and financing set to become even more expensive, there is a real risk that credit — originally meant to support families and consumption — could end up becoming a burden instead.
