Americans Are Sinking Further Into Credit Card Debt

Category: Credit Card Debt Published: Friday, 25 December 2015 Written by Super User

One possible problem for consumers is denial. In fact, 70% say that credit card debt carries a greater stigma than other forms of debt, like a mortgage, and more than a third found carrying a balance to be embarrassing. Almost half of respondents said they would be less interested dating someone who happened to have credit debt.

People view credit card debt as a personal failing, says McQuay. It sends the signal that they are not able to manage finances, and finances, for better or worse, are the easiest way to gauge your success in life.

Perhaps thats why consumers and credit issuers have a very different picture of how big the problem is. Borrowers thought the total amount owed, in aggregate, was $415 billion less than the amount lenders said was owed, NerdWallet noted.

Break the Cycle

If youre someone who struggles with debt, how can you improve your standing? One way thats relevant now is to spend less during the holidays. In 2014, average debt levels rose by almost $1,000 from March to December. Come up with, and stick to, a budget.

Also make sure youre using the right tools.If you have a balance, check out MONEYs best credit cards for borrowing and use a better card to get your debt under control. The Chase Slate, for instance, will let you transfer your debt without a fee and then pay it off interest-free for 15 months.

By starring debt in the face, you might find it easier to manage.

Read Next: These Are the Best Credit Cards

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