Posted on 12/14/2014 4:43:16 AM PST by Citizen Zed
The golden years are going to feel a bit tarnished for almost one in five Americans.
In a personal finance survey published today, 18 percent of the respondents said they expect to be in debt for the rest of their lives. That is double the percentage who expected that in May 2013, the last time the survey was conducted.
Credit card indebtedness has increased moderately since the 2013 CreditCards.com survey, said Matt Schulz, senior analyst at CreditCards.com.
In contrast, student loan debt rose from an aggregate of $390 billion at the end of 2005 to $966 billion at the end of 2012, according to data from the Federal Reserve Bank of New York. Average student loan debt topped $30,000 in six states, according to the Project on Student Debt.
"We've all seen the student loan debt numbers, and credit card debt is increasing, and even though the job market is improving it's certainly not humming along, and there is data about people's salaries not growing quite as quickly as people had hoped," said Schulz. "You just wonder if it has all come together to create this unease."
Survey respondents who expect to pay off their debts anticipate doing so at an average age of 53. But in addition to the 18 percent who expect to owe money forever, another 25 percent expect to be in debt until at least age 61.
(Excerpt) Read more at finance.yahoo.com ...
Why should they? Look at the government, it never pays off it’s debt.
the sooner the better
let’s not forget black studies.
Could be your next door neighbor, someone at church, lots of people who cannot find work and lack the ability to pay. It is not simply the "Obama voter". Many folks don't want to reveal their debt in conversation and put up quite a convincing front that "everything is a-okay". The rate of inflation is outpacing many people's raises (if they are even receiving a raise these past few years). I think you are paining with a narrow brush; this problem of debt is far larger than lots are talking about. As well, the folks who are "debt free" and have no credit cards will find their credit score in the tank. It just happened to me. I have been working on becoming debt free. I wanted to re-fi my home in an attempt to get out of debt faster. Well, guess what? I had not credit cards (revolving credit) and my score is in the tank. I chose to open "pre-paid" lines of credit that show up on my credit report as revolving credit; but if the money is not on the card, the card cannot be used! To me, it is almost like the "system" is designed to entrap people. I know many people use credit responsibly, but there are swaths that do not and they are trapped by 21%+ interest rates and making the minimum monthly payment. It can't go on forever.
Don’t forget all these “trade” school running ads all day.
Some are good, some not so good, but they all arrange student loans
Many years ago I had a girlfriend whose father was terminally ill and expected to die within 3 weeks. With that news, she and her mother went on a spending spree and maxed out all his credit cards. The affair sickened me and I dropped her. Never found out if the scheme worked.
If we are talking credit card debt, or other high interest consumer debt like payday loans or rent to own items, they will pay back many times in interest what they owe in principle.
Same here, but that doesn’t mean we’ll be able to continue to not have debt. I’ll probably the first generation in a long time not to leave an inheritance.
In February, Costco sends you a check for 1-4% of your purchases (different items get different paybacks). I got $800 in Costco money last year and it didn't cost me a penny. Don't leave that money on the table. If you don't like Costco, research some other cards, like Capital One which just sends you cash every year.
You will have a golden credit rating to boot. When I went to buy my house, the real estate agent said he had never seen a rating so high.
“We Whites don’t get it?” Well guess what, if we don’t pay our bills, then you don’t get to sit on your a$$es all day, on welfare, and go out and roam the streets and act like you belong in a Zoo, then what are you “poor” idiots going to do then?
Then again do FedStateLocalGov Inc. and most corporations really intend on paying off their debt?
Just hang on until March 1, 2017 when President Warren forgives them all
Just hang on until March 1, 2017 when President Warren forgives them all
LOL! Great graphics.
Agree 100%. And the federally guaranteed loans is the reason the cost of going to college has skyrocketed.
Improved Headlines: ‘One-fifth of Americans are dead beat liberals and think big companies can afford it.’
I don’t think I will ever hit my limit.
That’s an insightful comment.
Now if only they would vote that way!
I remember student debt. I fought that and avoided it until one day I realized I could pay it OFF and be done with it if I sold a bunch of stuff I had and really wanted but, well, I didn’t need. I sold it and got it paid off. That what was what originally convinced me that I didn’t want to owe anybody money any more. I didn’t change my habits sufficiently to avoid that for some more years but I don’t get anything now that I can’t pay for now. Not owing money gives me more satisfaction than possession of the things I could get by borrowing money.
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