Bad credit card debt is expected to reach $100B

East Valley Tribune ^ | 10-18-08 | Edward Gately

[RKBA Democrat]

Pity the poor debtslavers; usury just isn't as profitable as it used to be. /s

Unfortunately, you can count on the debtslavers looking for a bailout when/if their writeoffs hit the magnitude indicated in this article.

[FlingWingFlyer]

Don’t worry. “That One” has all this handled. Personal responsibility in this country is a thing of the past. The Nanny State is the rooster in this hen house now!

[silverleaf]

On the bright side, employment in the bill collection “profession” is going to go up a lot

People better read the handwriting on the wall about living in debt

[spetznaz]

The part I found most interesting: Real wages have grown by only 4 percent since 1999 while outstanding credit card debt has risen by more than 75 percent during the same period I'd say that is a tsunami by any other name. The seeds were planted, now they are sprouting.

[dforest]

Well hey, just print up some bucks and cover it. Screw you to all that pay their bills. /s

[Larry Lucido]

Of the $100 billion, $70 billion is late fees, overlimit fees and interest at 35%.

[Clintonfatigued]

Does this mean there’s going to be another bailout?

[Terry Mross]

I don’t think the credit card companies will be able to sell this paper for pennies on the dollar. Therefore NONE of it will be put back into the economy.

Selling homes I’ve seen this up close and personal. There are “buyers” out there but they carry too much debt and don’t qualify for the mortgage.

[Terry Mross]

See my post below yours. I don’t think the “collection” companies will buy this worthless paper even for only pennies on the dollar.

[nomorelurker]

I think so. Despite the mortgage crisis this has the potential to affect all of Main Street. But where will the money come from we allready spent it on Wall Street.

[dalereed]

“There are “buyers” out there but they carry too much debt and don’t qualify for the mortgage.”

I’ll be a buyer but I won’t even look at anything for at least another 18 months and then it will be for cash.

[alloysteel]

What part of this “bad credit card debt” went to fund the campaign of Barack Hussein Obama, Jr., the charismatic, messianic Magic, um, Mulatto, for President, and what part went toward funding the Democrat Senatorial Campaign, and the Democrat Congressional Campaign? Plus, of course, what was parsed out to the various 527’s that existed only to continuously spread misinformation and disinformation about the Republican contenders? And what was ACORN’s share?

Talk about “walking-around money”. This was one of the biggest ever. They are not only buying every vote they need, they are going to mount enough court challenges so the end will NEVER be seen.

When things are going down, they are going down for good.

[FlingWingFlyer]

Yup!

[Son House]

Sallie Mae

[Krankor]

If you got a good credit card as opposed to bad, wouldn’t the debt therefore be considered um.... good?

[Pearls Before Swine]

I don’t think the “collection” companies will buy this worthless paper even for only pennies on the dollar.

You'd be surprised. I moved about 2 1/2 years ago, and got a new phone number to go with the house. Apparently the prior owner of the phone number (who had never lived at the house) was a real deadbeat. I'm still getting debt collection calls, although they've been dying off of late. Her debt must have been resold, at ever lower rates, to a bunch of collection agencies.

[ikka]

Real wages have grown by only 4 percent since 1999 while outstanding credit card debt has risen by more than 75 percent during the same period, he said.

And by how much have houses gone up during this same period? Either people overall are spending "too much" on housing, or there is a serious overhang on the housing market.

[Terry Mross]

Those people already bought the debt and they’re trying to collect anything they can. There won’t be any buyers for this new debt.

[Moonman62]

For the past decade, consumers have been taking on more debt while their savings and real wages have declined, Larkin said. Real wages have grown by only 4 percent since 1999 while outstanding credit card debt has risen by more than 75 percent during the same period, he said.

More of W's legacy.

[The Duke]

Just get George W to write another check - and maybe launder it through some Well Street crony.