Both of the prior answers are very confident but very incorrect.
The aberration you see isn’t in debt payments, it’s in disposable income. Because COVID layoffs disproportionately impacted lower incomes to a degree really never observed before it structurally changed the median income figure upwards. People weren’t actually making more, but the data set had so much of the lower percentiles lopped off that it looked like that. This is why you see it revert back so aggressively as the year comes to a close.
On top of that, disposable personal income is inclusive of government transfers, and most Americans got a few checks in the mail compliments of Uncle Sam, further increasing the spikes already present due to the layoff hit.
See the disposable income trend line here: https://fred.stlouisfed.org/series/dspi
Commentary from the Fed on transfer payments: https://fred.stlouisfed.org/blog/2025/12/why-did-gdp-and-personal-income-diverge-during-covid
E: actually I want to apologize, I had my wires crossed slightly - government transfer were the primary driver of disposable personal income spiking. Actual debt payments remained relatively static, so the ratio falls. That part is accurate.
My first comment regarding the compositional impact is also accurate, but DPI is calculated across everyone not just working individuals so it’s not a factor there. It’s what drove significant increases in average income/wage stats from the BLS though - see here: https://www.bls.gov/osmr/research-papers/2022/pdf/ec220010.pdf
I was pulling the above from memory and incorrectly applying it to DPI which uses a different method of arriving at incomes in aggregate.
It did. Reality is, there most certainly was a trickle down effect on the economy at that time of stimulus money that made its way into the hands of the people. I work in a Credit Union and unanimously among the financial institutions people on average were flush with cash and reducing their debt.
The last 3 years has been this continual headline of "delinquencies rise, credit rises, charge-offs rising", but the asterisk at the end of every single one is "still below pre-pandemic levels".
We're finally at the point where we're encroaching on higher than pre-pandemic levels
Not as much as you might think, on average people spent about 2% less in 2020 than they did in 2019, then by 2021 that spending was back on positive trend.
The composition of spending changed significantly, with e-commerce making huge strides with in person spends (dining, travel, etc) falling considerably, but the balance of spending wasn’t too far off from historic trends in aggregate.
not right away actually. the ny fed numbers come from credit reports, and a card the bank has charged off still shows there as a past due balance until it's paid, sold to a collector, or the lender stops reporting it. so some defaulted debt is still sitting in that 1.29 trillion. the fed's lender-reported data drops it once it's charged off, which is part of why the ny fed delinquency rates run higher
Thanks for the info. Without knowing more, the graph could tell a very different story. One where households aren’t being approved for new debts and defaulted debts are aging out of the data.
Delinquencies are tracked as part of the household debt report, you can view their long term charts here:
https://fred.stlouisfed.org/series/DRCCLACBS
https://fred.stlouisfed.org/series/DRCLACBS
https://fred.stlouisfed.org/series/DRSFRMACBS
I know a lot of people on Reddit seem to want to figure out where the vibes match up with the data, but the truth is it just doesn’t - most data continues to reinforce that Americans are in pretty solid shape financially.
Genuine question, how much of this is just a balance that will be paid off monthly if you were to guess? Because I think I technically have 2,000 in credit card "debt" right now but my payment isn't due until next week, which I will pay off probably this friday in full.
I believe they only count balances that accrue interest at least one cycle. So if you pay off before the charge accrues interest it won’t be reported. Cash advances and balance transfers do not have interest grace period and those start accruing interest as soon as they get posted.
You are right. It is the statement balance that gets reported to the credit bureaus, not the amount that accrues interest. I charge $2,000 -$3,000 a month and pay it all off before interest accrues, but my credit rating is like a roller-coaster ( 800-850 ) depending on whether I pay before the statement balance or just after. Either way I don't pay interest. So I don't consider any of it to be non-momentary debt.
Above like 750, your credit score doesnt change much.
Wife and I also basically put everything we can on our CC for cashback then just pay off the statement balance. No interest, "free" money (costco card, so literally money).
The balance can get high at times, especially during the holidays. Realistically it doesnt actually matter as even if our credit scores dip, its just a blip until we pay the balance.
Also above 750 the things that influence your score are mostly bullshit and lenders know it. Like if your report has zero late payment marks, zero carried balances, and a strong mix of credit then doing something like opening a new card and closing an old one can bring your average age of accounts down and make your score go from 820 to 780 in a heartbeat. Does this matter at all? Of course not.
Average age of accounts is really important if it’s coupled with a pile of missed payments and other issues though, cuz that signals a pattern, but the weighting system has it impact your score regardless.
yeah, lol. I have $80k in cc debt, all at 0% APR, most of which I can roll over for another 12-18 months of 0% APR for just a 4% fee, but I only choose to roll over a small share of.
How do you have $80k in cc debt and still qualify for 0% APR offers every year or two? Also, how do you have $80k in cc debt in the first place? Medical bills you put on a credit card or something?
That’s a good question. I usually have a credit card balance that I pay off before the due date to avoid interest.
But no doubt a lot of people like to max out their credit cards on nonessentials. I know a handful of people myself. Someone I know maxed out a card for a Japan trip.
I’d like to see the rate of change on this metric. As the number is so variable when compared to percentage of GDP, variable as a comparison to household net worth over time, I’m more focused on how quickly it’s growing, as reported.
I feel like everyone I know has at least $10-20k tied up in credit card debt. My wife and I had a lot, but have consolidated it into a personal loan.
Makes a huge difference and it's a good strategy. IF you never use credit cards again. But nowadays that is nearly impossible with how expensive everything is.
I have a friend who is selling plasma to buy groceries. The paycheck runs out on like the 17th, and everything beyond that just goes on credit cards. She is $47k in the hole today, and has no idea when or if she will begin to pay it down.
This is the exact type of situation that bankruptcies are built for. It will hurt her credit for the coming years (so forget about buying a home, or getting a new car loan), but likely is the better option to get the debt under control, work out payments, and start to build savings again. Living under $47k of credit card debt which is likely 25-30% interest rates are going to crush you forever unless you are a very high income earner with limited other debt obligations.
In general it’s nearly impossible for someone to get in that much credit card debt with little to no income. Credit Card issuers aren’t dumb and have piles more data on you than you think - the reason why nobody needs to verify income much anymore is because they’re able to do that internally within a slim margin of error based on a number of various private methods (Equifax work number, plaid, Finicity, credit bureau estimates, etc).
Banks are generally not letting someone run up 50k of CC debt on no income, shit they’re usually no letting someone run up 50k of CC debt on low six figure income amounts.
Some quick math here- most CC minimum payments are 1% of total balance plus interest for the month, so at 20% interest that’s over $1,300/mo.
I know. It baffles me that it is happening, but I've seen the bills. BTW, her minimum payments are more like $1600 a month. I keep figuring the bank will at some point say stop and the whole thing will collapse. Not yet, I guess.
This is one of those headlines that could be posted at almost anytime. Nominal values of things like CC debt just keep going up over time because of both inflation and economic growth.
In fact the only times CC debt has not been at record highs were after major financial collapses like the aftermath of 2008.
What a perfect time for the Fed to consider interest rate hikes by another 50-75bps in the coming months -- I dont disagree that controlling inflation is important, but trying to fight oil/energy related inflation with raising interest rates is a terrible plan IMO. Raising rates right now hurts the average citizen with higher cost credit card debt, auto loans, home loans, etc, and does little to fight the main issue heating up inflation. They need to stop this war with Iran, get oil prices down under $70-75 again, and it takes TIME for those effect to be felt.
I am more worried that these rate hikes will start being seen more in the employment numbers over the coming 12 months if they keep hiking. Right now the numbers show improvement but it looked more contributed to part-time and seasonal job gains while high paying jobs have been struggling.
The fed is driving us toward a recession, and I think the average consumer would rather pay an extra $4-5 for groceries on raising inflation over losing their jobs, or watching their credit card interest rates go even higher causing them to fall further behind.
>The fed is driving us toward a recession, and I think the average consumer would rather pay an extra $4-5 for groceries on raising inflation over losing their jobs
You would think that, but the post-COVID years where we somehow managed to avoid a recession and the political fallout from the inflation seem to show otherwise. Even if people may be paying $4-5 more for groceries, there will be people happy to tell them that they are actually paying $40-50 more
Very true, and groceries may not be the perfect example as they can fluctuate much more widely, but I believe the risk of recession/job loss is much worse for the economy than a 3% inflation rate over the 2% target.
Oil related inflation will not be tamped down by raising interest rates as people still will fill up their gas tanks to get to work, goods need to be hauled and trucked around to get to stores, etc. IMO the only way to get this problem under control is to fix the problems in this administration who got us into this pointless war. Even then it will take many months or longer for things to hopefully return to normal as they burned a significant portion of the SPR to keep oil prices from getting even worse than they are over the last 6-9months
The federal interest rate does not set mortgage rates. A lot of inflation impacts 10 year treasury yields, which is the driver of mortgages rates. That fact that this is top comment for me on an economics sub.
Correct they are not a 1:1 move, but they do trend in the same direction over time. If the fed does 3-4 rate hikes over the coming 6-9 months, I'd be willing to bet that we see 30yr mortgage rates go up by .375-.5% - which in todays weak home market is not going to help at all with unlocking existing supply or encouraging new home builds.
Kinda glad I have zero debt except a house... I lived paycheck to paycheck to pay it off, but my god, some people LIVE on credit its bonkers. I have friends living at twice their income, and refuse to redo their lives to get out of debt, they just say its "normal" to have 30k credit card debt.... I cant even imagine the mental gymnastics. And yes I understand some people HAVE to but a good majority I would say are just bad with impulse buying.
I only have student loan debt and the amount of people I know just digging themselves deeper is mind blowing. They all make more money than me, but I have crawled out of a pit and never want to go back unless it's truly do or die. Student loans are bad enough.
The missing data is how much of this is paid off at the end of the month. If one looked at my credit card balances, for instance, I'd always have a pretty sizeable chunk, but that is a misleading metric for my solvency, as I don't carry over balances and never pay interest. Once we remove people in similar positions and then divide the total by the number of accounts, it would be easier to see how dire a predicament this is.
SunshineSeattle | 4 hours ago
https://www.newyorkfed.org/microeconomics/hhdc
"Total household debt expanded by $334 billion, a 1.8 percent increase, to reach $19.1 trillion in the third quarter"
handsoapdispenser | 4 hours ago
Up in nominal but still dropping relative to GDP
RIP_Soulja_Slim | 3 hours ago
Also household debt service relative to disposable income: https://fred.stlouisfed.org/series/TDSP
That’s going to be inclusive of all debts that aren’t a mortgage - credit cards, auto, personal loans, etc.
lazydictionary | an hour ago
Any idea what happened during Covid that affected household debt so much? Did Covid stimulus money have that large an effect?
RIP_Soulja_Slim | an hour ago
Both of the prior answers are very confident but very incorrect.
The aberration you see isn’t in debt payments, it’s in disposable income. Because COVID layoffs disproportionately impacted lower incomes to a degree really never observed before it structurally changed the median income figure upwards. People weren’t actually making more, but the data set had so much of the lower percentiles lopped off that it looked like that. This is why you see it revert back so aggressively as the year comes to a close.
On top of that, disposable personal income is inclusive of government transfers, and most Americans got a few checks in the mail compliments of Uncle Sam, further increasing the spikes already present due to the layoff hit.
See the disposable income trend line here: https://fred.stlouisfed.org/series/dspi
Commentary from the Fed on transfer payments: https://fred.stlouisfed.org/blog/2025/12/why-did-gdp-and-personal-income-diverge-during-covid
E: actually I want to apologize, I had my wires crossed slightly - government transfer were the primary driver of disposable personal income spiking. Actual debt payments remained relatively static, so the ratio falls. That part is accurate.
My first comment regarding the compositional impact is also accurate, but DPI is calculated across everyone not just working individuals so it’s not a factor there. It’s what drove significant increases in average income/wage stats from the BLS though - see here: https://www.bls.gov/osmr/research-papers/2022/pdf/ec220010.pdf
I was pulling the above from memory and incorrectly applying it to DPI which uses a different method of arriving at incomes in aggregate.
Willster328 | an hour ago
It did. Reality is, there most certainly was a trickle down effect on the economy at that time of stimulus money that made its way into the hands of the people. I work in a Credit Union and unanimously among the financial institutions people on average were flush with cash and reducing their debt.
The last 3 years has been this continual headline of "delinquencies rise, credit rises, charge-offs rising", but the asterisk at the end of every single one is "still below pre-pandemic levels".
We're finally at the point where we're encroaching on higher than pre-pandemic levels
eukomos | an hour ago
More about not being able to do expensive things like go to restaurants and travel.
lazydictionary | an hour ago
That's a good point, I'm sure a lot of discretionary spending went down.
RIP_Soulja_Slim | 43 minutes ago
Not as much as you might think, on average people spent about 2% less in 2020 than they did in 2019, then by 2021 that spending was back on positive trend.
The composition of spending changed significantly, with e-commerce making huge strides with in person spends (dining, travel, etc) falling considerably, but the balance of spending wasn’t too far off from historic trends in aggregate.
_Gobulcoque | 2 hours ago
Legit question - how does this reflect defaulted debt and bankrupticies?
IE: if a household defaults, does the debt get written out of the data?
markjayson13 | an hour ago
not right away actually. the ny fed numbers come from credit reports, and a card the bank has charged off still shows there as a past due balance until it's paid, sold to a collector, or the lender stops reporting it. so some defaulted debt is still sitting in that 1.29 trillion. the fed's lender-reported data drops it once it's charged off, which is part of why the ny fed delinquency rates run higher
_Gobulcoque | an hour ago
Thanks for the info. Without knowing more, the graph could tell a very different story. One where households aren’t being approved for new debts and defaulted debts are aging out of the data.
RIP_Soulja_Slim | 40 minutes ago
Delinquencies are tracked as part of the household debt report, you can view their long term charts here:
https://fred.stlouisfed.org/series/DRCCLACBS
https://fred.stlouisfed.org/series/DRCLACBS
https://fred.stlouisfed.org/series/DRSFRMACBS
I know a lot of people on Reddit seem to want to figure out where the vibes match up with the data, but the truth is it just doesn’t - most data continues to reinforce that Americans are in pretty solid shape financially.
ChrisFromLongIsland | 3 hours ago
The US consumer is in the best shape it has been in a long time.
Username_Reported | 3 hours ago
Best gas prices. Best food prices. Lowest rent. Largest crowd sizes. What more could you ask for?
weatherwar | an hour ago
Historical gas prices: https://inflationdata.com/articles/inflation-adjusted-prices/inflation-adjusted-gasoline-prices/
ChrisFromLongIsland | 13 minutes ago
Stop with your facts. All we need is vibes.
Special_Regret_6805 | 4 hours ago
Genuine question, how much of this is just a balance that will be paid off monthly if you were to guess? Because I think I technically have 2,000 in credit card "debt" right now but my payment isn't due until next week, which I will pay off probably this friday in full.
Homie_Bama | 4 hours ago
I believe they only count balances that accrue interest at least one cycle. So if you pay off before the charge accrues interest it won’t be reported. Cash advances and balance transfers do not have interest grace period and those start accruing interest as soon as they get posted.
korinth86 | 2 hours ago
Interest wise, thats true. Credit utilization is still reported more regularly and can cause a dip in your score.
Its not much, I think mine has dipped a max of like 15-20pts and goes back up immediately after the CC is paid.
Bruges_1 | 3 hours ago
You are right. It is the statement balance that gets reported to the credit bureaus, not the amount that accrues interest. I charge $2,000 -$3,000 a month and pay it all off before interest accrues, but my credit rating is like a roller-coaster ( 800-850 ) depending on whether I pay before the statement balance or just after. Either way I don't pay interest. So I don't consider any of it to be non-momentary debt.
korinth86 | 2 hours ago
Above like 750, your credit score doesnt change much.
Wife and I also basically put everything we can on our CC for cashback then just pay off the statement balance. No interest, "free" money (costco card, so literally money).
The balance can get high at times, especially during the holidays. Realistically it doesnt actually matter as even if our credit scores dip, its just a blip until we pay the balance.
RIP_Soulja_Slim | 37 minutes ago
Also above 750 the things that influence your score are mostly bullshit and lenders know it. Like if your report has zero late payment marks, zero carried balances, and a strong mix of credit then doing something like opening a new card and closing an old one can bring your average age of accounts down and make your score go from 820 to 780 in a heartbeat. Does this matter at all? Of course not.
Average age of accounts is really important if it’s coupled with a pile of missed payments and other issues though, cuz that signals a pattern, but the weighting system has it impact your score regardless.
lazydictionary | an hour ago
What do you mean "you are right"? They asked how much of the debt is paid off every month.
Martery | 2 hours ago
NY Fed is just a snapshot balance from Equifax (I believe 5% randomly sampled). Like, I just paid quarterly taxes, I don't carry a balance, but a snapshot of my credit card history is massively overinflated because we had a vacation, coincide with Q3 estimated taxes. CFB has a much more comprehensive report that has the details into account level data from the major issuers, but 2026 hasn't been released yet. Around half of the accounts are actually carrying debt and paying interest, with ~43% paying in full each month, and ~50% revolving.
PR0H181D0 | an hour ago
yeah, lol. I have $80k in cc debt, all at 0% APR, most of which I can roll over for another 12-18 months of 0% APR for just a 4% fee, but I only choose to roll over a small share of.
schu2470 | 20 minutes ago
How do you have $80k in cc debt and still qualify for 0% APR offers every year or two? Also, how do you have $80k in cc debt in the first place? Medical bills you put on a credit card or something?
ohhhbooyy | an hour ago
That’s a good question. I usually have a credit card balance that I pay off before the due date to avoid interest.
But no doubt a lot of people like to max out their credit cards on nonessentials. I know a handful of people myself. Someone I know maxed out a card for a Japan trip.
082426grateful | 4 hours ago
I’d like to see the rate of change on this metric. As the number is so variable when compared to percentage of GDP, variable as a comparison to household net worth over time, I’m more focused on how quickly it’s growing, as reported.
MosquitoValentine_ | 3 hours ago
I feel like everyone I know has at least $10-20k tied up in credit card debt. My wife and I had a lot, but have consolidated it into a personal loan.
Makes a huge difference and it's a good strategy. IF you never use credit cards again. But nowadays that is nearly impossible with how expensive everything is.
Whaddduptho | 2 hours ago
Median is only like 3k per card holder.
random-meme422 | an hour ago
Well birds of a feather and all. Debt is low relative to gdp and disposable income
RIP_Soulja_Slim | 36 minutes ago
> I feel like everyone I know has at least $10-20k tied up in credit card debt
Def not normal my man
Eeeegah | 4 hours ago
I have a friend who is selling plasma to buy groceries. The paycheck runs out on like the 17th, and everything beyond that just goes on credit cards. She is $47k in the hole today, and has no idea when or if she will begin to pay it down.
Empty_Football4183 | 3 hours ago
She's cooked no way to pay that off without a super good job
NicKaboom | an hour ago
This is the exact type of situation that bankruptcies are built for. It will hurt her credit for the coming years (so forget about buying a home, or getting a new car loan), but likely is the better option to get the debt under control, work out payments, and start to build savings again. Living under $47k of credit card debt which is likely 25-30% interest rates are going to crush you forever unless you are a very high income earner with limited other debt obligations.
deityblade | 3 hours ago
Dont know their salary but could it to be time to look into bankruptcy? Feel like you hear of people doing that for less
BlazinAzn38 | 3 hours ago
That won’t help if they are constantly running a deficits as they’ll just go straight back into debt the day after with much more dangerous debt
Eeeegah | 3 hours ago
I try not to get involved, but I think there is a house she is trying to keep (that has little to no equity in it).
RIP_Soulja_Slim | 3 hours ago
In general it’s nearly impossible for someone to get in that much credit card debt with little to no income. Credit Card issuers aren’t dumb and have piles more data on you than you think - the reason why nobody needs to verify income much anymore is because they’re able to do that internally within a slim margin of error based on a number of various private methods (Equifax work number, plaid, Finicity, credit bureau estimates, etc).
Banks are generally not letting someone run up 50k of CC debt on no income, shit they’re usually no letting someone run up 50k of CC debt on low six figure income amounts.
Some quick math here- most CC minimum payments are 1% of total balance plus interest for the month, so at 20% interest that’s over $1,300/mo.
Doggleganger | 2 hours ago
What if they got 10k in the hole, then you have years of compound interest at over 20%. Can hit $47k pretty quick.
RIP_Soulja_Slim | 2 hours ago
You’d need to not be paying at all, which means it would have been charged off to collections long ago.
Whaddduptho | 2 hours ago
Simply paying the minimum would decrease it......at a very slow pace.
They'd have to keep using it for it to increase.
Minimums are calculated to pay it off......just at an absurdly slow pace.
Eeeegah | 3 hours ago
I know. It baffles me that it is happening, but I've seen the bills. BTW, her minimum payments are more like $1600 a month. I keep figuring the bank will at some point say stop and the whole thing will collapse. Not yet, I guess.
Old_Value_9157 | an hour ago
I should tell one of my female friends about selling plasma. She's doing "services" for this guy so she can buy groceries for her kids.
Bullboah | 3 hours ago
This is one of those headlines that could be posted at almost anytime. Nominal values of things like CC debt just keep going up over time because of both inflation and economic growth.
In fact the only times CC debt has not been at record highs were after major financial collapses like the aftermath of 2008.
weatherwar | an hour ago
Nominal is one thing. Not adjusted per capita is another.
Meaningless number. But you will see it be frontpage on this sub and CNBC will get the clicks they want out of it. Very simple.
NicKaboom | an hour ago
What a perfect time for the Fed to consider interest rate hikes by another 50-75bps in the coming months -- I dont disagree that controlling inflation is important, but trying to fight oil/energy related inflation with raising interest rates is a terrible plan IMO. Raising rates right now hurts the average citizen with higher cost credit card debt, auto loans, home loans, etc, and does little to fight the main issue heating up inflation. They need to stop this war with Iran, get oil prices down under $70-75 again, and it takes TIME for those effect to be felt.
I am more worried that these rate hikes will start being seen more in the employment numbers over the coming 12 months if they keep hiking. Right now the numbers show improvement but it looked more contributed to part-time and seasonal job gains while high paying jobs have been struggling.
The fed is driving us toward a recession, and I think the average consumer would rather pay an extra $4-5 for groceries on raising inflation over losing their jobs, or watching their credit card interest rates go even higher causing them to fall further behind.
CFLuke | an hour ago
>The fed is driving us toward a recession, and I think the average consumer would rather pay an extra $4-5 for groceries on raising inflation over losing their jobs
You would think that, but the post-COVID years where we somehow managed to avoid a recession and the political fallout from the inflation seem to show otherwise. Even if people may be paying $4-5 more for groceries, there will be people happy to tell them that they are actually paying $40-50 more
findingmike | 23 minutes ago
>we somehow managed to avoid a recession
that was Biden working with Congress
CFLuke | 10 minutes ago
I wrote it as such to imply that it was a significant achievement that rational voters would have celebrated. But.
NicKaboom | 18 minutes ago
Very true, and groceries may not be the perfect example as they can fluctuate much more widely, but I believe the risk of recession/job loss is much worse for the economy than a 3% inflation rate over the 2% target.
Oil related inflation will not be tamped down by raising interest rates as people still will fill up their gas tanks to get to work, goods need to be hauled and trucked around to get to stores, etc. IMO the only way to get this problem under control is to fix the problems in this administration who got us into this pointless war. Even then it will take many months or longer for things to hopefully return to normal as they burned a significant portion of the SPR to keep oil prices from getting even worse than they are over the last 6-9months
Pablovansnogger | 29 minutes ago
The federal interest rate does not set mortgage rates. A lot of inflation impacts 10 year treasury yields, which is the driver of mortgages rates. That fact that this is top comment for me on an economics sub.
NicKaboom | 24 minutes ago
Correct they are not a 1:1 move, but they do trend in the same direction over time. If the fed does 3-4 rate hikes over the coming 6-9 months, I'd be willing to bet that we see 30yr mortgage rates go up by .375-.5% - which in todays weak home market is not going to help at all with unlocking existing supply or encouraging new home builds.
NoPhysics1129 | 3 hours ago
Kinda glad I have zero debt except a house... I lived paycheck to paycheck to pay it off, but my god, some people LIVE on credit its bonkers. I have friends living at twice their income, and refuse to redo their lives to get out of debt, they just say its "normal" to have 30k credit card debt.... I cant even imagine the mental gymnastics. And yes I understand some people HAVE to but a good majority I would say are just bad with impulse buying.
Low_Fail6247 | 2 hours ago
I only have student loan debt and the amount of people I know just digging themselves deeper is mind blowing. They all make more money than me, but I have crawled out of a pit and never want to go back unless it's truly do or die. Student loans are bad enough.
DefinitiveChaos | 38 minutes ago
The missing data is how much of this is paid off at the end of the month. If one looked at my credit card balances, for instance, I'd always have a pretty sizeable chunk, but that is a misleading metric for my solvency, as I don't carry over balances and never pay interest. Once we remove people in similar positions and then divide the total by the number of accounts, it would be easier to see how dire a predicament this is.
ledow | 2 hours ago
That's what you want when the AI bubble bursts and the stock market crashes, another $1tn of personal debt that won't get paid back.
Good luck with that.
Eazy12345678 | an hour ago
i carry credit card debt cause you dont pay taxes on debt. i pay taxes if i sell my stocks to cover the credit card debt
stock market makes 15% a year. credit card balance transfer is 4-5% a year. so still making 10% not paying off my debt
this is how the rich stay rich. they just do it on a larger scale
MagicWishMonkey | an hour ago
What card do you have where you're not getting hit with 20% APR every month?
kingkeelay | 15 minutes ago
You get 0% for 9-18 months with 5% balance transfers, depending on the issuer. What credit score do you have where you aren’t offered this?