Borrowing by Latvian residents is most often determined by specific practical needs – financing a car, housing, or other larger purchases – rather than by marketing influence. 78% of residents admit that advertising plays practically no role in the choice of a loan or lender, according to a survey of residents conducted by AS “West Kredit” in cooperation with SKDS.

Residents indicate that they most often borrow for larger purchases and investments – transport, housing, repairs, and consumer durables. Over the last year, loans taken out have most frequently been used for car purchases (29%) and buying home appliances or furniture (24%). A significant portion of funding was also secured for real estate purchases and construction (19%), as well as for home repairs or improvements (17%), according to the survey. 10% of respondents needed a loan to cover healthcare expenses, while 9.4% needed one for unforeseen or emergency expenses.

At the same time, residents point out that advertising has a relatively small role in the choice of a loan or a specific credit institution. 65% of those surveyed stated that advertising had no role in their decision, and a further 13% rated its influence as rather small. Meanwhile, only 8.1% of respondents identified the importance of advertising as high or very high, which suggests that advertising in itself is not the decisive factor influencing residents' borrowing choices.

“The survey of residents' financial habits shows that borrowing is not a spontaneous impulse driven by advertising, and this is a particularly significant finding at a time when credit advertising regulations have changed in Latvia. People link borrowing to a specific need – from purchasing a car or home to covering health expenses – so it is essential to choose the appropriate type of financing by evaluating which loan, term, total cost, and collateral are proportionate to the specific plan. In this context, advertising can help people learn about options, and encourage them to evaluate and compare in order to make an informed decision for financing their needs,” notes Artūrs Silantjevs, member of the board of AS “West Kredit”.

Residents' plans for the coming year also show a thoughtful and, in a sense, cautious attitude towards taking on new obligations. A portion, or 11% of respondents, rate the possibility of taking out a new loan as high or likely to be high, whereas 43% rate it as small or very small, and 25% indicate that they do not plan to borrow.

The survey was conducted by the market and public opinion research company SIA “SKDS” on behalf of AS “West Kredit” from 10 to 12 August 2026, surveying 1,005 Latvian residents aged between 18 and 75.