The number of delinquent credit card users has shot up over the past three years due to the economic slowdown. Data released by the Financial Supervisory Service on Sunday shows roughly 180,000 people defaulted on their credit card payments in 2011, up 29 percent from a year earlier.
The figure is even higher than in 2009, immediately after the global financial crisis.
From 2009 to 2011, the number of credit card defaulters reached nearly 500,000 and the amount of overdue debt stood at roughly US$2.3 billion.
Most of the defaulters are ranked in the medium to low range of creditworthiness, and the increase in their number reflects risks of worsening household debt. Korea is already grappling with growing household debt, which is expected to dent consumer spending and economic growth.
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