When the recession hit, most every family had to rein in spending or at least think more consciously about where each dollar went. One of the main debts that had people in Florida and elsewhere struggling was credit card debt. As the recession wanes, people are feeling more confident in their ability to pay back what they borrow, so debt — including credit card debt — has begun to rise again.
Even though credit card debt is back on the upswing across the country, it is still notably below the peak amount of debt registered in 2008. Now, it is up 1.9 percent from last year and hovering at $861.9 billion. But, it is still below the highest amount set at $1 trillion of 2008.
While people might be dusting off the credit cards, it isn’t credit card debt that is responsible for the biggest portion of debt in the country. It is student loan debt that has added to all debt since 2009. In fact, student loan debt was measured as up 8 percent from the year before.
Any kind of prolonged debt, including credit card debt, can make it a struggle for families to stay above water. In Florida, homeowners, in general, may still be wrangling from the recession and looking for ways to fully recover. Anyone overwhelmed with credit card debt, student loan debt or mortgages that are still difficult to stay on top of may benefit from understanding options, such as bankruptcy, and how those options can help Florida residents get the fresh start they need. Even though student loan debt is not currently dischargeable in bankruptcy, other unsecured debt is and addressing it responsibly can provide the framework for finally confronting financial obligations that have become unmanageable.
Source: triblive.com, Credit card debt leaps thanks to holidays, No author, Feb. 7, 2014