A new report from the German Federal Statistical Office (Destatis) has shed light on the debt levels of individuals who sought the help of debt counseling services in 2024. The data reveals that the average debt of those who used such services was approximately 32,976 euros.
Older individuals, particularly those aged 65 and above, had significantly higher debt levels, with an average of around 46,847 euros, compared to the 11,269 euros of those under the age of 25. The age group of 35 to 45 years old comprised the largest proportion of those seeking debt counseling, with nearly a quarter (28%) of the total.
The varying debt levels also led to differences in the debt intensity, or the ratio of monthly net income to debt, among the age groups. For instance, those under 25 would need to use their entire monthly net income for almost a year (11 months) to pay off their debts, while those aged 65 and above would take around three years (38 months) to become debt-free, assuming they used their entire monthly net income for debt repayment. The average debt repayment period for all individuals who sought debt counseling was 25 months.
The differences in debt levels and debt intensity can be attributed to both the higher debt burden and the lower monthly income in older age groups.
In addition to the debt levels, the types of creditors also varied significantly among the age groups. In 2024, the majority of those under 25 (57%) were indebted to telecommunications companies, with an average debt of around 1,559 euros. In contrast, nearly a quarter (28%) of those aged 65 and above were indebted to telecommunications companies, with an average debt of around 616 euros.
On the other hand, the majority of those aged 65 and above (59%) were indebted to credit institutions, with an average debt of around 23,790 euros, which is significantly higher than the average debt to telecommunications companies due to the typically higher amounts of bank loans. The average debt to credit institutions for those under 25 was around 2,677 euros.