Buckle up, because household interest payments are expected to double by mid next year, forcing more borrowers to default on their mortgages. In its latest Financial Stability Report, the Reserve Bank is forecasting the average share of disposable income used to pay interest will hit 18 percent in 2024, doubling the lows of two years ago. People who bought homes in 2020 and 2021, at high debt to income ratios are expected to feel the most pain. About two thirds of mortgages that were fixed at very low interest rates during the pandemic have now rolled over to pricier loans, although the Reserve Bank says most borrowers have so far been about to cut discretionary spending to make ends meet. But there is a rider and its a chunky one; that could all change if the job market softens and people start losing work. ASB chief economist, Nick Tuffley, speaks to Lisa Owen. [embed] https://players.brightcove.net/6093072280001/default_default/index.html?videoId=6340263770112