There are many natural persons who can no longer meet their debt obligations in the Baltic states. For them, overindebtedness is not just a temporary problem – various factors have led to an increase in the number of insolvent natural persons. As shown by economic examples, the insolvency5 of natural persons is caused by excessive
borrowing for consumption, housing, investment, private business needs, farming, taxes, and inflation, as well as
the development of the credit market which stimulates consumption.

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