According to a recent report by the Federal Reserve, Americans continue to finance more of what they buy with credit. Outstanding consumer debt grew at an annual rate of about 6%. The adjusted growth rate for revolving credit such as credit cards, jumped 5.6% in October, inched up 0.7% in November and skyrocketed 7% in December.
At the end of 2013, outstanding auto loans accounted for $873 billion of American consumer debt, up from $808.5 billion in 2012. Student loan debt surpassed $1.2 trillion, up from $1.1 trillion in 2012. In total, U.S. Consumers held about $3.1 trillion in outstanding revolving and non-revolving debt at the end of 2013, up from $2.9 trillion in 2012.
For more information read here: https://blog.credit.com/2014/02/credit-card-use-rebounded-in-december-75956/
It is clear than American consumers are starting to use credit more than years’ past. That is not a good sign. If you or someone you know has a debt situation that has spiraled out of control, please encourage them to seek legal advice from an experienced debt settlement law firm that offers a free consultation with one of its attorneys.