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Credit card debt smashed another record high at the end of 2023
foxbusiness ^ | 02/06/2024 | Megan Henney

Posted on 02/06/2024 9:45:08 AM PST by ChicagoConservative27

Americans are increasingly turning to their credit cards to cover everyday expenses, with debt hitting a new record high at the end of December, according to a New York Federal Reserve report published Tuesday.

In the three-month period from October to December, total credit card debt surged to $1.13 trillion, an increase of $50 billion, or 4.6% from the previous quarter, according to the report. It marks the highest level on record in Fed data dating back to 2003 and the ninth consecutive annual increase.

There was also an uptick in borrowers who are struggling with credit card, student and auto loan payments. As of December, about 3.1% of outstanding debt was in some stage of delinquency, up from the 3% recorded the previous quarter but still down from the average 4.7% rate seen before the COVID-19 pandemic began.

(Excerpt) Read more at foxbusiness.com ...


TOPICS: Business/Economy; Culture/Society; News/Current Events; Your Opinion/Questions
KEYWORDS: 2023; creditcard; debt; high
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To: ChicagoConservative27

Approximately 20 million Americans owe the IRS. That’s in addition to any other debt load they carry. Unless a person is able to pay the IRS off in a lump sum, it is almost impossible to get out from under IRS debt even with a payment arrangement. That’s because the IRS continues to add interest and penalties that often can double or even triple the original principle. Interest and penalties continue to be added even if you have a payment arrangement.


21 posted on 02/06/2024 10:38:01 AM PST by Avalon Memories (Liberalism is a philosophy of sniveling brats. -- P.J. O’Rourke)
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To: ChicagoConservative27

I use a credit card every time I buy anything. I pay the bill multiple times per month. I get a Costco rebate of 400 bucks and Apple Cash 25 bucks a month. I pay my utilities and car insurance with a credit card. If I start carrying a balance to the point where I pay interest I will get rid of the card.


22 posted on 02/06/2024 10:38:54 AM PST by webheart
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To: blackdog

When the AMX card # was stolen the first time there was a $1 charge in Bangkok. Then it was backed out a minute later. Then about an hour later a $59 charge in Australia and a $35 charge in New Zealand.

Apparently the $1 charge to test whether the number is good.

I had used it a day before at the local Thai restaurant. Somebody there probably sold the number to their cousin back home. I called the owner and told her. Never heard another word. I also stopped going there.

The only other time I got an email alert and text from AMX was when I charged my BullFrog hot tub. It went through, but my wife and I got multiple alerts


23 posted on 02/06/2024 10:42:29 AM PST by woodbutcher1963
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To: ChicagoConservative27

I’m sure my girls did their part. They live for shopping.


24 posted on 02/06/2024 10:43:26 AM PST by ComputerGuy (Heavily-medicated for your protection)
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To: ChicagoConservative27

I helped, but I pay it off every month.


25 posted on 02/06/2024 10:44:52 AM PST by dynachrome (War does not determine who is right, but who is left.Newark is 46% black)
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To: Uncle Lonny

Yep. A more sinister effect of Bidenflation. You finally see that the auto payments that were quickly reducing the balance now don’t cover the minimum payment. Republicans should be shouting this everywhere.


26 posted on 02/06/2024 10:48:41 AM PST by xkaydet65
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To: Uncle Lonny

Credit card companies are getting filthy rich.
Would it destroy them if they lowered the interest rates?


27 posted on 02/06/2024 10:48:53 AM PST by 1_Rain_Drop ( ~~ TRUMP is right about EVERYTHING ! ~~ )
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To: Political Junkie Too

Maybe but most likely they can’t get bank accounts. That’s why there are so many check cashing places. If you owe any bank money delinquent they all block you. Racket.


28 posted on 02/06/2024 10:55:24 AM PST by wgmalabama (Censored!)
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To: woodbutcher1963
Yes. Those are probing charges. If the $2 charge goes thru, a huge charge follows in a few days. That's only happened to me twice in twelve years. The great thing about Amex is that if you dispute a charge, the vendor or merchant has the burden of proof to authenticate the charge. If they can't prove it was purchased by you at that place and time, they credit the charge. They also credit you the charge while it's in dispute. One time we had fourteen airfares on my card , which I disputed. Then I found the charges were really just our four tickets with all kinds of secondary fee charges. Amex kept them in dispute until we sorted it all out. Then I paid them.

I know they are a bit of a progressive company which I don't like, but they are extremely good at what they do. And they do it well.

29 posted on 02/06/2024 11:04:06 AM PST by blackdog ((Z28.310) Be careful what you say. Your refrigerator may be listening & reporting you.)
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To: 1_Rain_Drop
Credit card companies are getting filthy rich. Would it destroy them if they lowered the interest rates?

To be fair, they have overhead costs like any other business. And a customer can shop around for better interest rates. Local loan sharks are probably cheaper, because of stronger penalty enforcement than credit card companies.

No one is forcing people to ignore the fine print on a contract.

30 posted on 02/06/2024 11:04:56 AM PST by roadcat
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To: 1_Rain_Drop
The way I see it is that credit card issuers are not getting filthy rich. People fill out rwvolving credit card applications to become extremely poor.

It's not hard to finger out.

31 posted on 02/06/2024 11:07:34 AM PST by blackdog ((Z28.310) Be careful what you say. Your refrigerator may be listening & reporting you.)
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To: PeterPrinciple
I have rental property, All my Hispanic tenants, pay in cash. They may be on to something.

My father-in-law owned an apartment building, and saw the same thing. Brother-in-law went and collected cash from the Hispanic tenants. Never any problem, they came up with the money. Father-in-law worked hard as a cook, then as a grocer, and my wife and her siblings chipped in so he could buy the apartment building. The rents allowed him to retire the grocery. After he passed, mom-in-law sold the building and had an easy retirement. They were used to doing as much as possible on a cash basis, and stayed away from interest loans.

32 posted on 02/06/2024 11:15:48 AM PST by roadcat
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To: blackdog

“I can buy a house with it if I choose.”

You must have an incredible credit limit


33 posted on 02/06/2024 11:41:26 AM PST by CottonBall (How cute that people think there are still elections. )
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To: ChicagoConservative27

One of my kids cleaned up his credit card debt so he and his wife could buy a house. Now they’re in the house, but the CC debt came back. DIL doesn’t seem to know how to stop spending money they don’t have. If they don’t get their act together, I know exactly how this story will end, sadly.


34 posted on 02/06/2024 11:51:48 AM PST by FamiliarFace (I got my own way of livin' But everything gets done With a southern accent Where I come from. TPetty)
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To: CottonBall

It’s not credit. Amex is a charge card. Just don’t ever fail to pay the charge. It’s like a 30 day charge capability based on your asset level and payment history and level of assets


35 posted on 02/06/2024 12:37:35 PM PST by blackdog ((Z28.310) Be careful what you say. Your refrigerator may be listening & reporting you.)
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To: ClearCase_guy

ADP has the best numbers


36 posted on 02/06/2024 12:39:09 PM PST by ridesthemiles
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To: blackdog

Very interesting, I had to go look it up. I have an Amex but I never realized it was different than credit cards. I use them all the same, for their 1, 2, or 3% cash back.


37 posted on 02/06/2024 12:48:24 PM PST by CottonBall (How cute that people think there are still elections. )
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To: Uncle Lonny

I was offered a 20k VISA by a company called Upgrade with an interest rate of 15.9. At the time my credit was fair at best so I accepted it. I also got a personal loan from them of 7k to replace my homes a/c at 7% interest. I paid it off as scheduled 36 months. The VISA is also set up for 36 month payoff for all charges and does not allow a small minimum payment that takes forever to pay off. It has been a blessing and I am now debt free for the first time in over 40 years and have an 811 credit rating after 5 years switching my credit needs to Upgrade VISA.


38 posted on 02/06/2024 12:57:17 PM PST by TonyM (Score Event)
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To: CottonBall

I’m measured about cash back offers. I prefer the savings benefit of not spending money. Call me a tight-ass.


39 posted on 02/06/2024 12:57:42 PM PST by blackdog ((Z28.310) Be careful what you say. Your refrigerator may be listening & reporting you.)
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To: CottonBall
My son bought his first house that way. On the spot. Yes he is an authorized cardholder on my account. Again....its really not a "credit" card. It's a charge card.

Imagine putting aircraft fuel-ups on a credit card? 400 gallons of avgas at $5.00 a gallon! A few trips in a month can easily top $15K. One does not put that on layaway! You throw in hotels and meals and you have some Hugh and series bills.

Don't ever finance any expense or purchase of planes, boats, fuel, or maintenance on a line of credit. Too easy to destroy yourself.

40 posted on 02/06/2024 1:09:02 PM PST by blackdog ((Z28.310) Be careful what you say. Your refrigerator may be listening & reporting you.)
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