Almost $13 trillion of the $17.5 trillion US household debt statistic is housing debt. See: mortgages, which are stable, fixed payments, but new ones are more expensive now than they were last year or the year before. The article doesn’t mention this and makes it sound like it’s all credit cards. The Federal Reserve press releases sound like this too. Almost feels like they’re trying to gin up doubt and panic
American consumers are just learning from what they’ve seen their government do for decades. Put everything in the big credit card.
Man we need more financial literacy for kids prior to 18. But at the same time, our entire life is just one large conglomerate commercial. It’s stacked against us. Our economy thrives on us spending above our means. If everyone was to stop spending and pay off their debt, we’d be in a huge depression lol.
I do believe financial literacy plays a huge part in it. But at the same time the credit card industry is sort of known to hand out credit cards like candy.
Some of yall probably are not aware but before the CARD act, the CCC companies would send reps to American campuses. “Sign on bonuses” were given to students who applied for their card. Usually cheap trinkets like a bong or even just straight cash.
Students without any stable job would get credit limits that would not make sense. This temptation lead to poor spending habits and accumulation of debt. Possibly even filing for bankruptcy later in life or just having bad marks on credit reports due to non-payment and sent to collections (this impacts ability to get other loans).
It’s stacked against the normal person.
Meanwhile my credit card co raised my credit limit by $3k out of the blue the other day…
On some cards I have well over $50K limits. But really only use 1-2% of these limits. I can’t imagine people trying to carry balances on credit cards.
Probably when the CC industry busts my limits will probably get reduced :(
Bank bail outs in 3, 2…
Removed by mod
And you’re probably less of a person than a corporation is
