The average credit card debt in US is growing larger and larger by the day and year. It is a problem that is creating serious financial issues not just in the credit card market but in other markets as well. The average credit card debt in US numbers also have an effect on things like mortgages, bankruptcy, foreclosures, and car and school loans.
As the average credit card, debt in US grows more and more people are turning to things like debt consolidation and other more drastic means of fixing their credit and getting back their financial lives. If you think the average, credit card debt in US is not as bad as it may look. You may want to take a look at these numbers.
The Statistics on Average American Credit Card Debt
Here are some of the statistics. The average American credit card is carrying a balance right now of about $1,000. If the cardholder pays nothing more than their minimum two percent payment on that balance each month, they will have finally paid off the entire balance after twenty two long years. During that time, the interest charged to the account will reach $2,300.
On a national level, the average American household currently owes $8,500 in credit card debt. Individuals who have at least one credit card currently average more than $9,000 in debt. These statistics indicate that, since the year 1990, the average amount of debt that Americans owe on their credit cards has increased by 300%.
If you are wondering, what you spend in interest or even if you have not worried about until now, the average American spends more than $1200 a year in just interest payments alone.
This means that the average interest charges that are being paid on credit cards are larger than those that individuals have to pay for their rent or mortgage payment.
On average, the interest rate for credit cards is 18.9% and it is going up. Some cards have introduction rates of as high as 23% and as much as 30% for those with damaged credit. 50% of Americans would never tell a friend how much they own in credit card debt, 23% have maxed their cards, 13% are late 30 days on payments within the last 12 months, and 11% admit their cards when into collections.
Author: William BlakeThis author has published 28 articles so far.