Reports coming out of Tennessee show that there could be a shift in the amount of credit card debt that people are facing and the way that they handle it. Making late payments can compound what a person owes because of the interest rates. However, it seems that fewer people are making late payments than were doing so in the past.
Specifically, a company called TransUnion, which is in the business of gathering credit information, has said that the amount of people with payments that are late by about three months — 90 days — has not been as low as it is now in the past seven years. They specifically looked at the data for April, May and June, and they found that the rate of payments that are that late is down to just 1.16 percent.
News investigations looked into credit card ownership to see if there was a correlation there, and they found that just about every last person who was polled said that they did have a credit card.
Workers from First Tennessee bank were asked about this change, and they, like many others, pointed to the economy. They said that this could show a sign of change. They also said that people see these signs — or are directly impacted by the economy — and feel confident about their own monetary situations, so they do not put off the payments.
That being said, there are clearly still people who are struggling with credit card debt. This could be debt that they are picking up now or debt from the last seven years, when the numbers were much worse. People who are facing these challenges must know what legal options they have.
Source: WREG, “More people making their credit card payments on time” Siobhan Riley, Aug. 27, 2014