20pc set to miss mortgage repayment: study

Keeping cash for daily needs outweighs any concerns over late payments, survey shows

Researchers were surprised to find 20 per cent of New Zealanders with a mortgage are prepared to miss a mortgage repayment if they do not have enough money to pay all their bills.

The finding came from a Dun & Bradstreet study carried out by public opinion polling firm Taylor Nelson Sofres in March among 900 people aged 18 and above. The survey also found 51 per cent of people paid at least one bill late in the past year.

When it came to bills that had been paid late, 32 per cent who received a credit card bill said they had paid that late at least once in the past year.

For pay television the figure was 29 per cent, 28 per cent for a mobile phone, 26 per cent with home phone bills, 24 per cent with home internet, and 20 per cent who receive rates.

Dun & Bradstreet New Zealand general manager John Scott said: "That one in five Kiwis with a mortgage would be prepared to make a repayment late challenges accepted orthodoxy and points to new priorities for consumers.

"While the mortgage is considered extremely important, the study finds that when push comes to shove people are prepared to miss a payment to ensure they have free cash for their daily essentials."

- NZPA