Posted on 01/03/2025 4:56:15 PM PST by delta7
Credit card defaults in the US skyrocketed by 50% in the past year. Credit card defaults reached $46 billion in the first nine months of 2024, a level not seen since 2010. The cost of living has simply surpassed manageable levels for the majority of households.
CreditCardDefaults2024
Americans are feeling the impact of inflation and compounding interest. The New York Federal Reserve found that credit card debt hit a record high in September 2024 after surpassing $1.17 trillion during Q3. The Fed also reported that household debt reached a high of $17.94 trillion, with mortgages ($12.59 trillion), autos ($1.64 trillion), and student debt ($1.61 trillion) composing most of the debt. Household debt has been rising for the past ten consecutive years, but now, the debt is simply out of control.
As of December 2024, the average APR was 24.43%. Buy now, pay later methods have seen an uptick in recent years. Donald Trump has proposed capping interest at 10%, a level not seen since the early 90s. Consumer debt has never been higher and countless households have fallen into a snowball situation where they simply accumulate more debt in a failed attempt to pay off the old.
Banks are naturally against this cap. Those in disagreement believe banks will be reluctant to lend and tighten their requirements. To some extent, that may not be a negative. Living within your means has completely changed under Bidenomics and everyone is adjusting to the new cost of living. In the meantime, people need to catch up to get back on their feet before the debt vortex sucks them into a hole that becomes nearly impossible to climb out of.
CreditCardDebt.Chart_
Consumers have been forced to pay for basic necessities on credit due to the astounding rise in prices for basics like energy, food, and rent. “While working Americans catch up, we’re going to put a temporary cap on credit-card interest rates,” Trump said at the rally in New York. “We can’t let them make 25 and 30 percent.”
Now, Trump is proposing a temporary cap. We permit countless stimulus packages that never stimulate the economy and hand out funds recklessly to help those on hard times. Yet, no one has proposed temporarily capping credit card fees to give consumers time to pay off their debts. The banks are still profiting, albeit less.
Americans are drowning in debt and the White House can no longer ignore this heightening crisis. The banks may be against a cap, but absolutely no one will get paid if this debt is sent to collectors. Unfortunately, Trump’s tariff proposal will only steepen consumer costs if implemented. The Fed must stop lying to the public about inflation as essentials like shelter and food continue to rise.
Biden never addressed these issues and have allowed them to snowball into a full-on crisis. Once upon a time, a man could work a decent job, afford a home, family, and save for retirement comfortably. Now, dual-income households are working to barely stay afloat and drowning in debt for financing the essentials. It is time to focus on America and repair this nation to allow people to have a decent quality
How could I disagree with his AI?
TG is in troll mode tonight..
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Texas Gator is bored, lots of time on his hands. He has some kind of rub with Armstrong, but I enjoy to see he takes the time to read Armstrong’s free posts.
He really should devote some of that time to posting articles, criticism is all I see from him.
“How could I disagree with his AI?”
He has no AI. He also has no HI.
Excellent reporting with the numbers. Socrates ( Armstrong’s computer) makes forecasts by "numbers" and worldwide capital movements.This fraudulent advertising by the best known scammer on the planet on Free Republic stinks. He wants to sell his snake oil here i.e. his useless reports and books costing hundreds. Buyer beware!
“He really should devote some of that time to posting articles, criticism is all I see from him.”
How much would Armstrong pay me to be his shill?
“This fraudulent advertising by the best known scammer on the planet on Free Republic stinks.”
Blog pimps used to get zotted. And this is even worse.
I should check his posting history to see when he last got a time-out for trolling.
Nothing to see here, all is well say the democraps.
He's really rubbing one out on this thread. :)
Welcome to Free Republic.
“I should check his posting history to see when he last got a time-out for trolling.”
Nine years trolling me. You need to get a life.
US credit card defaults soar to highest level in 14 years Fox BusinessTranslation: Consumers, having run up debts, are screwed.Credit Card Defaults Skyrocket as Americans Unable To Pay Their Debts Newsweek
US credit card defaults surge 50% in 2024, reaching a 14-year high MSN / Invezz
Thanks for those links!
The proof is in the pudding.
Can’t Biden just forgive the debt? /s
First response:
Lui Bunting
10 months ago
Armstrong is the best known scammer on the planet. Always the smartest guy after the fact. Search the web: Armstrong Socrates Scam Martin Armstrong seems to find a need to wrap basic and well known (or what should be well known ) concepts in cloaks of mystery that only he – and his computer – can divine
Martin Armstrong lays out a scenario where the EU disintegrates, the US breaks up into several countries, and civil wars erupt as populations reach their breaking point when it comes to government overreach and the ever-intrusive eyes of the growing surveillance state. Martin also gives his thoughts on the implications of the Yen carry trade, gold’s role as a safe haven asset in uncertain times, and the possibility of a light at the end of the tunnel where humanity comes together in the aftermath of the chaos to come.
https://youtu.be/uMAK8XNt_Zk?feature=shared
He really should devote some of that time to posting articles, criticism is all I see from him.Armstrong deserves less than criticism. His articles are best described as biased and amplified rehashed old news, used as click bait for the suckers. For example, this credit card dept story is old. And he does not even bother to quote his sources.
Businesses, big and small, are also opposed to the cap.
Easy credit means more consumer spending.
And if the consumer defaults, the bank, not the business, takes the hit. (The bank, of course, pass it on to other consumers.)
Armstrong predicted gold would hit $5000 in 2015.
Now, 10 years later, gold has barely seen half that price.
Armstrong predicted that a world financial collapse would happen in 2015.
It never happened.
Now he is predicting a US civil war to start in 2025 with the US breaking into four new countries in 2026.
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