Total outstanding revolving debt (with 70% of that being made up of credit card debt) has been perpetually growing since it flattened in 2013.
The average US household credit card debt $16,000 (it was closer to $15,000 in December 2017 up +6.67% in 4.5 months).
It’s important for Americans to know that as they take on more debt, interests will continue to climb thus making the debt more and more expensive. The average interest rate per household is $18.76% costing Americans, on average, more than $1,200 per year in interest payments. Once again, the Fed is expected to raise the interest rate by 0.25%.
With people living paycheck-to-paycheck, everything is about personal cashflow and the the slightest adjustments can have massive impacts.
Rollover credit card debt really only modifies into a major concern when the payments and interest becomes unaffordable for the individual (many financial experts recommend having point based credit cards to establish and grow credit as long as you can a) stay disciplined to live within your financial means and 2) REALLY stay disciplined to live within your financial means).
“With credit card debt currently at record levels, it’s frightening that so many Americans do not have a plan to get out of the red,” said CreditCards.com senior industry analyst Matt Schulz. “Simply put, there’s only so much credit card debt Americans can absorb without it causing real problems.” Read the rest of the USA Article here