People in many countries prefer to borrow money from relatives, friends or neighbors than from banks, especially if they don’t need really huge sums of money. If a reporter asks people in the street if they usually borrow money most of the people will answer yes.

Moreover, they usually need loans for periods of time between 3 and 5 years. Banks in general offer loans for this period as well, for personal needs. Most of people borrow money in order to by home appliances like fridges, washing machines, dishwashers or cars. There are other people who get loan in order to buy a house but they are fewer nowadays taking into account the foreclosures crisis. In general people in the countryside need more money than people who live in cities.

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