The financial crisis over the last number of years hit all areas of the country heavily. Florida, in particular, saw a rise in home foreclosures and other financial difficulties. Moreover, credit card debt and other debts wreaked havoc on the average household. As the recession waned, people found ways to deal with these financial issues. However, it now appears that credit card use — and the debt that typically comes with it — is on the rise again.
According to a new study, the debt related to credit card use hit a high at the end of June. Analysts caution that this rise was for the second quarter of this year and may not actually represent a major rise in credit card debt again. However, another study recently revealed that 20 percent of Americans seem to be living beyond their means. Further, they have admitted that they would have to make changes to their lifestyle if they were forced to stop use of credit cards.
In the second quarter, the average credit card debt of each household totaled $6,804. Analysts warn that number could rise to $7,000 if the rising trend continues into a new quarter. Analysts also warn that spending and credit card use typically rise during the holidays in the fourth quarter anyways, and that could add billions of new credit card debt.
Credit card debt can be difficult for Florida families to deal with, especially after the recession. Anyone struggling with these difficult issues may benefit from understanding the options that exists to achieve a more controlled and stable future. One possible choice for discharging credit card debt may be bankruptcy protection. This option can be confusing and anyone considering bankruptcy may benefit from getting the most accurate and up to date information related to the possible discharge of debt as a means of righting one’s financial ship.
Source: nypost.com, “Americans play debt card in credit binge“, Gregory Bresiger, Sept. 27, 2014