Troughout the United States, many Americans are drowning in credit card debt. Credit Card debt is something difficult to get out of, but it’s far from impossible.
According to WalletHub, the average American family owes $8,377 in credit card debt. In average, Americans all together owe more than 12 trillion dollars in debt. Credit card debt has increased six percent in the past year and is now as high as it was during the Great Recession. People face a very challenging financial issue when faced with credit card debt. “Credit card debt is rising quickly, but delinquencies are still really low,” says Matt Schulz, CreditCards.com’s senior industry analyst. “Many Americans are doing a good job of controlling their debts, but eventually with big debts and rising interest rates, it’s likely that something will have to give. I expect delinquencies to start rising more quickly in 2017.” Though 24% of American adults tell CreditCards.com they are currently debt-free, those of you who are in debt thanks to credit cards, car loans, student loans, mortgages, etc., are in deep trouble. According to the Federal Reserve Bank of New York, student loan debt ($1.28 trillion, up $76 billion) and auto loan debt ($1.14 billion, up $90 billion) have ballooned within the last year. It also doesn’t help that credit card debt has also soared ($747 billion, up $33 billion).
“While it’s good to see Americans feeling better about their debt, I’m worried that some people are getting carried away,” Schulz says. “For example, credit card debt has been rising steadily for more than five years and is close to $1 trillion, according to the Federal Reserve. It seems like a lot of people are forgetting the painful lessons of the Great Recession.”
Tackling your debts successfully can be difficult, but it’s not impossible. Contact us and find out how you and your family can get out of debts!