Israelis' debts sharply rise - what's happening with loans
In the second quarter of 2026, Israelis sharply increased their consumer debts: non-mortgage debt rose by 9 billion shekels to 260 billion. Annual growth rates approached 10%, outpacing mortgages. The main increase came from bank loans and credit card debt.
In the second quarter of 2026, Israelis sharply increased their consumer debts. Over three months, non-mortgage household debt grew by about 9 billion shekels, reaching approximately 260 billion. This marked a significant turnaround after stagnation at the start of the year: in the first quarter, debt even slightly decreased by 0.1%. Annual growth rates of non-mortgage lending approached 10%, while mortgages grew by about 7%. Banks remain the main creditors, accounting for about 70% of all non-mortgage debt. Over the quarter, bank consumer loans grew by 4 billion shekels to 181 billion. Debt to credit card companies increased from 45 to 48 billion shekels. Israelis owed another 28 billion to institutional organizations, including pension funds. Total household debt by the end of June reached approximately 935 billion shekels, of which 675 billion was mortgages. The data indicate that the main source of the debt burden acceleration was not housing loans but other types of borrowing. The article cites data from the Bank of Israel published by Israel Hayom.