Based on research conducted by Experian and other various economists, America’s consumer debt was confirmed to have reached $13.3 trillionin Q4 2018. The record-setting debt number should be somewhat expected, though, due to the fact that four forms of consumer debt also all-time highs.
Consumer debt forms that were higher than ever in Q4 2018:
- Auto loan balances: $1.27 trillion
- Credit card debt: $834 billion
- Mortgage debt: $9.4 trillion
- Student loan debt: $1.37 trillion
The findings showed that 60% of consumers in America have and use a credit card, 32% have an open auto loan, 24% have a mortgage, and 14% have a student loan. The majority of states experienced an average credit card debt per resident increase, too, with California going up $389 since Q4 2017 calculations. Colorado had the largest year-over-year increase at $3,536, but Alaska has the greatest average credit card balance in Q4 2018 at $8,174.
The young are also seeming to struggle the most with purchasing and affording automobiles, despite auto sales in the country reaching about 17 million in 2018. Experian’s research shows that Gen Z members took out an auto loan 12% more frequently than they did in 2017, and Millennials increased their auto loan rates by 8%. To stay ahead of auto loan debt, an auto purchaser needs to pay $530 a month on average.
(You can learn more about the nation’s consumer debt by clicking here and viewing a full article from Experian.)
Getting Debt Relief Doesn’t Have to Be Difficult
There are many ways to get front-footed about your debt to gradually get it under control. You can make certain you pay your credit card bills on time, you can pay off your worst credit card first before others, and you can pinch your spending habits. However, there is nothing that promises any of these methods will work now or in the long term. Indeed, you might be at the absolute end of your budgeting abilities, spending bare minimum amounts, and still feel the weight of overwhelming personal debt. What can you do then?
If you live in Santa Clarita, you can come to Financial Recovery Law and speak with our attorney about bankruptcy and debt settlement options. With a successful bankruptcy, you can discharge your unsecured debt, protect valuable property through bankruptcy exemptions, stop creditor harassment, and much more. Call (888) 256-8581 or contact us online today to discover how we can help you feel free of debt and start living comfortably again with financial stability.