TAIPEI (Taiwan News) — Taiwan’s 40–49 age group accounted for the largest share of credit card interest charges when card bills are not fully paid, according to data from the Joint Credit Information Center through January.
The 40–49 age group held NT$36.2 billion (US$1.15 billion) in revolving interest, representing more than 30% of the total. They were followed by the 50–59 age group with NT$26.5 billion and the 30–39 age group with NT$24.5 billion, each accounting for more than 20%, CTEE reported.
Banking officials said middle-aged borrowers are typically primary household earners and often have multiple financial obligations, including mortgage payments, children’s education costs, and elderly care expenses. They added that revolving interest is often used as a short-term liquidity tool when repayment pressure builds.
The average revolving interest per credit card account stood at about NT$8,360 nationwide. Consumers aged 60 and above held NT$13.9 billion in revolving interest, accounting for more than 10% of the total, while those under 30 held NT$7.8 billion, accounting for less than 10%.
Banks generally conduct credit reviews twice a year and may adjust rates depending on a cardholder’s repayment behavior. These rates are typically around 6-8% in Taiwan.
Prolonged use of revolving interest, such as consistently paying only the minimum due, making late payments, or frequently using cash advances, may lead to higher interest rates. Borrowers with strong credit profiles may see lower rates.
Banking officials added that default risks have historically risen during periods of higher cash demand, such as holiday seasons or tax filing periods. However, with recent stock market strength, banks expect fewer cases of missed credit card payments.
