Article Image

IPFS News Link • Economy - Recession-Depression

8 Signs That We Are Right On The Verge Of A Major Credit Card Debt Crisis

• The Economic Collapse Blog - Michale Snyder

We aren't quite there yet, but an enormous credit card debt crisis is definitely brewing.  Americans are becoming increasingly dependent on their credit cards to make ends meet from month to month, the percentage of us that are carrying balances from month to month is growing, and the average rate of interest on such balances has risen above 20 percent.  If you can possibly avoid it, do not carry credit card balances from month to month, because that will strangle you financially.  Unfortunately, our young people are never taught this in school, and so many of them get into deep financial trouble when they become adults.  And once you get into deep financial trouble, it can take many years to get out of it.

In all my years, I have never seen numbers like we are witnessing right now.  The following are 8 signs that we are right on the verge of a major credit card debt crisis…

#1 The total amount of credit card debt in the United States has surpassed the one trillion dollar mark and is now at the highest level ever recorded

The New York Federal Reserve reported earlier in August that total credit card debt surged to $1.03 trillion during the three-month period from April to June, an increase of $45 billion – or 4.6% – from the previous quarter. It marks the highest level on record in Fed data dating back to 2003.