Smart Borrower Blog

Archive for the ‘Credit Card Debt’ Category

Americans Paid $113 Billion in Credit Card Interest

Apr 3rd, 2019 @ 8:53 PM by Amber Nelson

Americans are now paying almost double the amount of credit card interest as they did just five years ago. According to a study from MagnifyMoney, U.S. borrowers’ credit card interest totaled $113 billion in 2018, a 12% increase from the year before. It is predicted that consumers will pay as much as $122 billion in […]

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Household Debt Tops Pre-Recession High

Feb 20th, 2019 @ 9:58 PM by Amber Nelson

Americans owed $13.54 trillion in household debt as of the 2018 fourth quarter, according to data from the Federal Reserve Bank of New York, a 0.2% increase from the third quarter and the 18th straight quarterly gain. Total household debt has surpassed even the pre-recession peak of $12.68 trillion and is 21% higher than the […]

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Credit Card and Mortgage Delinquencies Rise in Latest Quarter

Jan 16th, 2019 @ 12:42 PM by Amber Nelson

While still well below historical averages, several categories of consumer credit delinquencies rose in the 2018 third quarter, including credit cards and home equity loans. According to data from the American Bankers Association, delinquencies increased in six of the 11 categories tracked in the ABA Consumer Credit Delinquency Bulletin. The composite ratio – a measure […]

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Credit Card Companies Tighten Up on Qualifications

Dec 12th, 2018 @ 10:25 PM by Amber Nelson

U.S. consumers are having a harder time getting the credit they want, according to a recent report from the Federal Reserve Bank of New York, perhaps a sign that lenders are nervous about rising delinquency rates. The Fed’s “Credit Access Survey” found that credit card issuers rejected 20.8% of applications in October 2018, up 14.4% […]

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Student Loan Defaults Could Reach 40% by 2023

Nov 7th, 2018 @ 11:22 AM by Amber Nelson

U.S. student loan borrowers are defaulting at such a steep rate that on the current trajectory as many as 40% of all borrowers could be in default within the next five years, according to a report from the Urban Institute. Student loans now make up the second-largest consumer debt category. Today there are more than […]

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1/3 of Americans Use Credit Cards for Home Renovations

Oct 26th, 2018 @ 3:38 PM by Amber Nelson

Even though Americans now have more home equity collectively than ever before, very few are tapping into that equity to pay for their home renovations, with more than a third charging their home expenses to a credit card. According to a study conducted by web site Houzz and Synchrony Financial, 36.4% of all renovation purchases […]

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Average Credit Scores Hit Record High

Oct 17th, 2018 @ 9:24 PM by Amber Nelson

Americans are figuring out how to manage their credit, it would seem. New data from Fair Isaac & Co. (FICO) shows that the average FICO score rose this year to an all-time of 704, up 4 points from 2018. The average score has risen for the past 8 straight years, climbing from a low of […]

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Top 5 Best and Worst States at Managing Debt

Sep 19th, 2018 @ 9:57 PM by Amber Nelson

Researchers have found a wide spread between the states where residents pay off their debts well versus those that don’t. Financial website Credible conducted a survey of over 540,000 borrowers from across all 50 U.S. states and found that credit card bills and student loans along with high housing costs are what keep many Americans from […]

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Consumer Household Debt Tops Record High

Aug 16th, 2018 @ 8:31 PM by Amber Nelson

Americans now have more debt than ever before, according to data from the Federal Reserve Bank of New York, but serious delinquency rates have remained near historic lows. Total U.S. household debt now amounts to $13.29 trillion as the of the 2018 second quarter, up 0.6% from the first quarter. This marks the 16th straight quarterly […]

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Credit Card Interest Rates Post 18-Year High

Jun 27th, 2018 @ 3:05 PM by Amber Nelson

American consumers are paying higher interest rates on their credit cards than they have in roughly 18 years, according to data from LendingTree.com, and they may pay even more before the end of the year. The average credit card rate today is 15.3%, based on information from LendingTree.com’s CompareCards.com, the highest level since 2000. Back […]

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