Getting Inside The Credit Card Debt Of The American People
In Credit Repair of CreditGuru (September 10, 2010 1:54 pm)
In February of this year the US government and census data determined that that the average adult in the United States has $3,752 in revolving credit card debt. This is actually a decline from July of 2009, when the average credit card debt per adult was estimated at $4,013. The total personal credit card debt of the average entire household in the United States is $7,394 down from $7,861. Seemingly the US consumers have really wised up to their credit card debt spending ways.
There was clearly another intriguing data released by the Federal reserve board as well. According to the study, 75% of all Americans have one or more credit cards. This is obviously surprising since it implies that 25% of homeowners do not have any credit cards of any kind at all.
This data is truly very encouraging for my overall perception of the spending habit of Americans. What this data suggests is that there is a nice percentage of the population that is fully mindful of how costly having credit cards could be. I would be curious to discover how this 25% without any credit cards at all breaks down demographic wise. I actually hope that the 25% does not just account for people who are under the age of 18 and simply cannot obtain a credit card yet.
I want to think though that the recent credit crunch is in fact teaching important lessons to those who spent like crazy during the economic boom but are now stuck for money and are finding methods on how to eliminate credit card debt. The raging economy prior to the start of the recession was too easy to get cash with. I had several friends who were mortgage brokers who could get someone approved for a loan that was a “no doc” loan. What this signifies in simple English is that one didn’t need any type of documentation to get the loan. One of my closest friend told me that he was able to approved a guy with his driver license ID.
People spend a lot of money everyday, but now there’s no more money to spend and jobs are much tighter then they have ever been. Companies are cutting back which has led to less people having jobs or even just if they have jobs they might not be getting the hours that they once had. In fact, those people who were already loaded with credit card debt prior to recession were seen looking for credit card debt settlement such as Indiana debt relief or Virginia debt relief.
The conclusion that I draw from the noticeable lowering in the total amount of revolving debt is this. There was clearly an increase in credit debt as soon as the economy took a quick turn south. This was mainly because people didn’t have jobs and had to use them. The improvement could be based on the economy slowly improving in conjunction with the reduction of consumer spending on their personal credit cards.
If you enjoyed this post, make sure you subscribe to my RSS feed!1 Comment »
RSS feed for comments on this post. TrackBack URI
Curabitur tellus.
Phasellus tellus
Getting good credit terms with a bad credit report is never easy. I used a credit repair company who were wonderful and helpful to work with, I will definitely refer my friends and family to them. You can even call them at 888-669-7372.
Comment by Malcolm — September 10, 2010 @ 5:45 pm