Did You Know That Most Americans Carry No Credit Card Debt?
News from Sacramento Bee:

InCharge Debt Solutions Offers Five Ways You Can Join the 63%

ORLANDO, Fla., April 3, 2012 /PRNewswire-USNewswire/ — Recent headlines and sound bites might have you thinking otherwise, but analysis of credit card usage data indicate that the clear majority of Americans do not hold credit card debt. In fact, according to the Federal Reserve, more than a quarter of Americans have no credit cards at all. Among cardholders, only half carry a balance (roughly 37% of the population). That leaves 63% of the population credit card debt free.

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“If you feel compelled to overspend on credit cards because your friends are doing it, you should get new friends,” adds Karen Carlson, Director of Education and Creative Programs at InCharge Debt Solutions. “Headlines that tout average credit card debts of $ 10,000-$ 20,000 are really talking about average debt levels for people who carry debt, not the…………… continues on Sacramento Bee

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Related News:

Consumer debt: concerning but not critical
News from Financial Post:

Worries don’t justify ­politicizing credit rules

By Philippe Bergevin and James MacGee

As a percentage of income, Canadian household debt levels are higher than at any point in recent history and now higher than those of U.S. households. This raises concerns over the sustainability of household finances, the risks to the broader economy and the merits of government intervention.

Recent debate has understandably focused on the housing market and on the risks associated with household mortgage debt. But consumer credit, which excludes mortgages but includes household debt such as auto loans, credit card debt and lines of credit, has risen by more than a factor of five since the late 1970s and, at 43% of disposable personal income, is more than double its level of 20 years ago. This appears to have increased the number of Canadian households with stressed finances, as evidenced by the jump in personal bankruptcy filings to near U.S. levels during the recent recession.

Consumer credit has changed substantially over the past 20 years with the rapid rise of borrowing via home equity loans and lines of credit (HELOCs), as well as personal lines of credit. Consumer credit now accounts for roughly 45% of total household interest payments. And because HELOCs…………… continues on Financial Post

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