US Bad Credit Card Debt On The Rise

[Economy 53,068]

https://www.bnnbloomberg.ca/bad-credit-card-debt-is-on-the-rise-in-the-u-s-1.1250085

 

Debt write-offs from debt companies acknowledged they will never collect and payments 30 days past due are on the rise in the US to the highest since 2012 also roughly around the time that the deleveraging cycle ended and consumer debt hit its lowest this cycle

 

Bad debt and rising consumer debt is typical towards the later years of a maturing business cycle although consumer finances still remain much healthier than in 2007 just before the financial crisis of 2008

 

However for those hoping for solid economic growth for years to come without at least a mild recession or economic pullback... This is not good news

[PartySick 174,107]

Yay we're all broke 

[Economy 53,068]

Just now, PartySick said:

Yay we're all broke 

Still much better than in Canada

 

Canada consumer debt: 174% disposable income

USA: 111% (134% at peak in 2007)

 

Also 48% of Canadians within $200 a month of insolvency 

 

Gotta love the longest economic expansion in history where the middle class still lives like sh*t

 

[PartySick 174,107]

1 minute ago, Economy said:

Still much better than in Canada

 

Canada consumer debt: 174% disposable income

USA: 111% (134% at peak in 2007)

 

Also 48% of Canadians within $200 a month of insolvency 

 

Gotta love the longest economic expansion in history where the middle class still lives like sh*t

 

The middle class is the new lower class, don't cha know  now for people to be poor by comparison they literally have to have negative money.

[Born To Slay 10,996]

I mean, my fam owes like 50k in credit card debt, so I feel that. 

[Economy 53,068]

Just now, PartySick said:

The middle class is the new lower class, don't cha know  now for people to be poor by comparison they literally have to have negative money.

Yazzzzzzzzzz

 

My line of credit says helo

 

Although since my wife found work and we now have 2 incomes I've managed to reduce the debt from $7200 and now it's $4300 so im happy to see it drop

 

Still negative tho 

 

But I have less debt than the average Canadian and an almost perfect credit score surprisingly 

 

I still stress about money all the time tho

[Economy 53,068]

Just now, Born To Slay said:

I mean, my fam owes like 50k in credit card debt, so I feel that. 

That sucks

 

Do u guys at least have assets as well and equity?

 

I have over $4000 in debt still (was $7200 at one point) but I also have my investment account for when I buy a house one day so I can technically also use that as an emergency savings account if I really really needed to.

[SharkmanthaC 115,112]

My debt is mostly from school loans. 

Working on Dave Ramsey’s plan to reduce it all. 

[PartySick 174,107]

16 minutes ago, Economy said:

Yazzzzzzzzzz

 

My line of credit says helo

 

Although since my wife found work and we now have 2 incomes I've managed to reduce the debt from $7200 and now it's $4300 so im happy to see it drop

 

Still negative tho 

 

But I have less debt than the average Canadian and an almost perfect credit score surprisingly 

 

I still stress about money all the time tho

Luckily I'm debt free but I've never made any truly huge purchases (I'm inheriting my grandparents' home and their vehicles, both of which I already use) and I live well within my means. The only thing that could send me into debt now is a student loan which I would really love to avoid but we gotta make grades somehow

I'm sure my score isn't that great considering I've neglected to build much of a credit history...and no score is worse than a bad score

[messybottom 10,579]

just paid all of my credit card debt off a few days ago, before I start applying for apartments. Glad I don't have to be a slave of those credit card companies anymore 

[Economy 53,068]

13 minutes ago, PartySick said:

Luckily I'm debt free but I've never made any truly huge purchases (I'm inheriting my grandparents' home and their vehicles, both of which I already use) and I live well within my means. The only thing that could send me into debt now is a student loan which I would really love to avoid but we gotta make grades somehow

I'm sure my score isn't that great considering I've neglected to build much of a credit history...and no score is worse than a bad score

Oh the grandparents

 

My mom is gonna inherit half my grandparents house near downtown Toronto that is worth $1.2 to $1.4 Million. So shes looking at a minimum $600,000 for her share plus whatever cash my grandparents must have stashed cuz they don't spend like nothing and they been mortgage free for like 40 years and been stashing cash ever since 

 

In addition to her $600,000 to $700,000 equity share she's looking at at least $300,000 in cash so my parents will be millionaires once my grandparents die

 

My parents only have like $90,000 left on mortgage so when my mom gets her inheritance my parents are gonna be super well off. But me meanwhile

 

I can see my parents helping me out with a downpayment on a house or something tho once they get wealthy

[Born To Slay 10,996]

36 minutes ago, Economy said:

That sucks

 

Do u guys at least have assets as well and equity?

 

I have over $4000 in debt still (was $7200 at one point) but I also have my investment account for when I buy a house one day so I can technically also use that as an emergency savings account if I really really needed to.

We have a second house, that I’m pretty sure will sell for a minimum of 80k, so we’re good there. But barring selling it, my fam is gonna be debt forever. 

Congratz on reducing ur debt and ur generally being responsible with ur money.

[Economy 53,068]

Just now, Born To Slay said:

We have a second house, that I’m pretty sure will sell for a minimum of 80k, so we’re good there. But barring selling it, my fam is gonna be debt forever. 

Congratz on reducing ur debt and ur generally being responsible with ur money.

Omg a house for $80K what state or city do u live in?????

 

I live in the suburbs and the cheapest small houses here are still like $550,000 minimum ($400,000 US) hence why I can't buy one

 

That's what I get for living in the Metro cities

 

Glad to hear ur family will be ok if u sell the second house tho

[RAMROD 117,892]

Never understand people who uses CC more than what they can pay, and I am pretty sure mostly were used for splurging too. Like, if you're not wealthy don't act like one. Who are you fooling anyway? 

Like I got this work mates who enjoy buying expensive stuffs, and chose to starve over it. It's his choice but honestly that's a poor choice. It's not how much money you have but how good you can manage them. Poor managing combined with poor self control only get you so far, that's why lots of lottery winner find themselves back being dirt poor again.  

[Economy 53,068]

12 minutes ago, RAMROD said:

Never understand people who uses CC more than what they can pay, and I am pretty sure mostly were used for splurging too. Like, if you're not wealthy don't act like one. Who are you fooling anyway? 

Like I got this work mates who enjoy buying expensive stuffs, and chose to starve over it. It's his choice but honestly that's a poor choice. It's not how much money you have but how good you can manage them. Poor managing combined with poor self control only get you so far, that's why lots of lottery winner find themselves back being dirt poor again.  

And this era of cheap credit ever since 2008 on reinforces that

 

This generation does not know what normal rates are

 

I have friends who are complaining about the recent interest rate hikes last 2 years and in like, it's still so low by historical averages