Borrowing From Family and Friends: Study of the European Union

Authors

  • Sara Diab Lebanese American University
  • Mustafa Nourallah Mid Sweden University
  • Peter Öhman Mid Sweden University

DOI:

https://doi.org/10.61190/fsr.v33i3.4141

Keywords:

saving, borrowing from family and friends, household finance, consumer economics, debt card, European Union

Abstract

Informal borrowing from family and friends suffers from the lack of formal agreement and can lead to severe consequences. Self-control theory suggest some strategies to improve the saving tendencies which can reduce this type of borrowing. To examining which factors that can enhance these strategies in the European Union, this study uses balanced panel data analysis from the Global Findex and Eurostat databases for the years 2014, 2017, and 2021 and conclude a pivotal role of using debit cards and also for saving behavior in addressing this type of borrowing. The study also arises inquiries about the effectiveness of public financial education and empathizes the importance to improve related policies in the FinTech landscape. By elucidating these findings, this paper contributes to deeper knowledge of the dynamics between using debt cards and borrowing practices in the European Union.

Downloads

Published

2025-10-02

How to Cite

Diab, S., Nourallah, M., & Öhman, P. (2025). Borrowing From Family and Friends: Study of the European Union. Financial Services Review, 33(3), 48–60. https://doi.org/10.61190/fsr.v33i3.4141

Issue

Vol. 33 No. 3 (2025): Financial Services Review

Section

Financial Technology (FinTech) Special Issue

License

Copyright (c) 2025 Mustafa Nourallah

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

Author(s) retain copyright and grant the Journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution-NonCommercial 4.0 International License that allows to share the work with an acknowledgment of the work's authorship and initial publication in this Journal.

This license allows the author to remix, tweak, and build upon the original work non-commercially. The new work(s) must be non-commercial and acknowledge the original work.