No matter the life stage, and no matter the issue at hand, countless Tennesseans face the reality of credit card debt. Many might assume that such debt can only occur as a result of shopping addictions, but these situations can often be much more complex.
Financial struggles can last for months, and even years, and can place a major restraint on an individual’s well being. Whether it is from student loans, car payments or other life category, not understanding the extent — or the complete story — of one’s credit card debt can be a daunting experience.
Business magazine Fast Company acknowledges the often frightening aspects of discovering one’s credit card debt, only to forget why the debt occurred in the first place. According to a survey highlighted by Fast Company, more than one in ten consumers do not remember the reason they went into the negatives with their credit cards. As of this month, Americans face roughly $1 trillion in credit card debt. It appears that, although some Americans feel they can manage their accounts effectively, many lose track of accumulating debt over the years.
Financial website Wise Bread shares that one negative effect of rising credit card debt in America is that consumers are not paying off the debt fast enough. Payments are occurring, but are not keeping up with the high influx of debt. Another problem involves the number of Americans who carry this burden: using a study showcased in their article, Wise Bread reported that the average U.S. household owed $9,600 in credit card debt in 2016. Skyrocketing interest rates, the extensive time it can take to completely pay off debt and the repercussions of late payments are other factors that a crippling number of Tennesseans must consider when managing credit card debt.