The leading cause of debt in America is currently student loan debt, totaling around $1 trillion. While medical debt may be rising in the ranks, credit card debt remains the second largest debt total. This total lands around $800 billion in credit card debt held by consumers in Cincinnati and across the United States.
Holidays, especially from the time between Thanksgiving and Christmas aren't always easy on the wallet. With the advent of online shopping, credit card use around the holidays has become an even more common method of payment. The numbers aren't in yet, but what were consumers planning to do this holiday season?
The reports differed. Of those that were surveyed by the National Foundation for Credit Counseling, 33 percent of respondents said that they were planning on avoiding swiping the card at all. Instead, they were going to spend nothing.
On the other hand, a dailyfinance.com survey found that half of all parents knew that they were going to increase their debt total. They were willing to take on a little more in order to make sure that their kids had presents under the tree to open up.
The marketing director of Consumer Credit Counseling Service of Rochester pointed out that the issue with credit card use is that the bill doesn't come in the mail for around a couple weeks. It can be difficult to track the total as the charges begin to add up.
No matter how debt was incurred, when it is there, it can be overwhelming. An individual may be able to eliminate or restructure unsecured debt such as credit card debt through the personal bankruptcy process.
Democrat and Chronicle, "Debt hangover follows holiday fun," Tom Tobin, Dec. 24, 2013