Portugal’s Woes Drive Personal Bankruptcies

Posted on March 28, 2012 at 3:43pm by

LISBON, Portugal — Nuno Pinto is 40, out of work and contemplating a step he thinks is the only way out of his family’s financial plight: personal bankruptcy.

Pinto, like many Portuguese, is financially stranded. He has no income, and gets by with the help of his elderly parents, but repayments on loans he took out before Portugal was engulfed by a financial crisis keep falling due.

Personal bankruptcies last year outnumbered company bankruptcies, accounting for 55 percent of all insolvencies in Portugal. It’s the first time that has happened and is part of a gloomy catalog of record-breaking statistics.