Posted on 09/10/2012 5:09:56 PM PDT by newzjunkey
Consumer credit fell in July for the first time in nearly a year as Americans reduced credit card debt, a worrisome sign for an economy that has struggled to create jobs.
Consumer credit shrank by $3.28 billion in July, the Federal Reserve said on Monday. That was well below the $9.1 billion advance Wall Street economists had forecast in a Reuters poll. ...
"(The data) looks consistent with the lackluster gains in consumer spending reported elsewhere," JPMorgan economist David Silver said in a note to clients. ...
Consumer credit flows -- a relatively new data series that the Fed says is more sensitive to economic trends -- also cooled. The flow of consumer credit fell at an annual rate of $39.3 billion in July.
(Excerpt) Read more at reuters.com ...
You beat me to it!
Unprecedented!
Since debt IS the new ca$h, this is bad news for the economy in the short run, but good news for America if the ‘rats take a pounding in Nov.
Everything with Obama is “Unexpected” but if he were a Republican it would be “Expected”
Another journalist who thinks debts cause jobs.
Well said. Entrepreneurs who save a portion of their profits save jobs. And wage-earners who save a portion of their earnings [when interest rates are above zero] save jobs. Debts don't save jobs.
Well count me in on this... I’m succeeding on reducing my credit card debt to almost nothing! Yippeee Yahoo... retirement here I come!
Maybe people are starting to figure out that they have to pay those credit card bills with actual money.
Thanks to the encouragement of Dave Ramsey, our family will be debt free by the end of this year. No more credit cards! No more 12.99% interest! It was worth doing without the stuff we didn’t really need to be free at last.
bump
Wow... It took three people to report, write and edit this 200 plus word article....and still not really say anything substantial....
Well, for now anyway...
Well.. It depends on your train of though.
You think paying your debts off with today’s dollars is a good idea. It’s an idea that is hard to argue with.
The fed thinks paying yesterdays debts off with highly inflated dollars later is a better idea.
Now.. If I where a betting man, I’d say inflation is coming, it might even be hyper inflation. And I’d lock in a low interest loan on a 100,000 dollar house knowing in 3-4 years I could very well be working for 1500 dollars an hour because of inflation and paying my 850 dollar house note would be no problem at all..
Buying a loaf of bread might be however.
It will not help those on Social Security.
Well.. It depends on your train of though.
You think paying your debts off with today’s dollars is a good idea. It’s an idea that is hard to argue with.
The fed thinks paying yesterdays debts off with highly inflated dollars later is a better idea.
Now.. If I where a betting man, I’d say inflation is coming, it might even be hyper inflation. And I’d lock in a low interest loan on a 100,000 dollar house knowing in 3-4 years I could very well be working for 1500 dollars an hour because of inflation and paying my 850 dollar house note would be no problem at all..
Buying a loaf of bread might be however.
It already isn’t. They have not got a COLA in 2 or 3 years.
Congratulations!!
Dave is THE man.
You'll find living debt free very easy to get used to :)
Why is this happening...Raaaacism? We all know money shouild be lent by skin color quotas, regardless of raaacis mathematical income equations of qualification.
Where’s Holder? The rich people are commiting social injustice and screwing the people with no money!
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