Saturday , December 14 2019
Home / Tag Archives: Credit card

Tag Archives: Credit card

New Debt Record; Americans Propping Up the Economy With Money They Don’t Have

American consumers are still propping up the economy spending money they don’t have. But how long can it last?After a slowdown last month, consumer borrowing jumped again and set another new record in October, according to the latest data released by the Federal Reserve.Consumer debt grew by $18.9 billion in October. That represents an annual growth rate of 5.5%. Total consumer debt outstanding now stands at a record $4.165 trillion. (Seasonally adjusted)The Federal Reserve consumer debt...

Read More »

Consumer Debt Sets Another Record But Borrowing Pace Slowing

Consumer debt set another record in September, but the pace of borrowing appears to be slowing. This could signal trouble for an economy built on American consumers spending money they don’t have.Total consumer debt grew by $9.5 billion in September, according to the most recent data released by the Federal Reserve. That represents an annualized increase of 2.8% and pushed total consumer indebtedness to a new record of $4.15 trillion (seasonally adjusted).The Fed consumer debt figures...

Read More »

Are Americans Close to Maxing Out Their Credit Cards?

Consumers continued to pile on debt in August, according to the latest data released by the Federal Reserve. But credit card debt fell slightly, raising a troubling question: are consumers close to maxing out the plastic?Total consumer credit grew by another $17.9 billion in August. That represents an annualized increase of 5.2% and pushes total consumer indebtedness to a new record of $4.14 trillion (seasonally adjusted).The Fed consumer debt figures include credit card debt, student...

Read More »

Indebted US Consumers Losing Confidence

With debt up to his eyeball, the US consumer seems to be losing confidence in the US economy.Last month, Spencer Schiff wrote an article warning about declining consumer confidence, writing, “any shift in consumer psychology/behavior could knock a critical support out from under our economy.”In fact, consumer spending makes up about 70% of US GDP. If Americans stop shopping, the economy grinds to a halt.Meanwhile, consumer debt continues to skyrocket. In effect, US consumers are propping...

Read More »

Another Month, Another Record for Consumer Debt

Americans continue to drive the economy along spending money they don’t have. Consumer debt increased yet again in July, setting another record, according to the latest data released by the Federal Reserve.Total consumer debt surged $23.4 billion in July, driven by a huge jump in credit card balances. The big rise in consumer indebtedness took analysts by surprise. said the increase “exceeded all estimates” in a survey of economists. Overall, consumer debt increased by an annual rate of...

Read More »

I Owe, I Owe… SchiffGold Friday Gold Wrap Sept. 13, 2019

The price of gold whipsawed this week, driven up and down by various headlines. In this episode of the Friday Gold Wrap, host Mike Maharrey covers some of the big news that moved the markets. But he said that we need to keep our eyes on the big picture. All of this is happening in front of a backdrop of surging debt driven by central bank policy. How much do we owe and what does it mean for the future? Mike talks about it. The SchiffGold Friday Gold Wrap podcast combines a succinct summary...

Read More »

American Consumers Propping Up Economy With Money They Don’t Have

Consumer debt is driving American economic growth.Total outstanding consumer debt surged over $4.1 trillion in the second quarter of 2019, according to the latest data released by the Federal Reserve.American indebtedness grew by 4.9 over the year, and the quarterly gain from Q1 to Q2 came in at $60 billion — the biggest second-quarter increase since Q2 2016.  Over the last 12 months, American consumers have piled on an additional $208 billion of debt.The consumer debt figures include...

Read More »

How High Can Consumer Debt Go Before the Bubble Pops?

Consumer debt climbed to a new record once again in April. The question is how much money can American consumers borrow before the bubble pops?Americans borrowed money at the fastest pace in five months in April, according to the latest Federal Reserve Consumer Credit Report. Total consumer credit increased by $17.5 billion. That’s an annual growth rate of 5.2%Americans currently owe nearly $4.07 trillion.The consumer debt figures include credit card debt, student loans and auto loans, but...

Read More »

Subprime Credit Card Charge-Offs Remain at Great Recession-Era Levels Despite “Booming” Economy

Last week we highlighted the rising level of auto loan delinquencies and the growing number of student loan borrowers who can’t make their payments. This week, we got some more bad news for lenders. Subprime credit card charge-offs remain at levels reminiscent of the Great Recession.In the first quarter of this year, credit card charge-off rates at all but the largest 100 banks remained above 7% for the sixth quarter in a row. During the peak of the recession, the charge-off rate at these...

Read More »

Good News or Bad News? Consumer Debt Sets New Record But Rate of Borrowing Could Be Slowing

Consumer debt continues to climb and break records every month. But the pace of borrowing slowed in March, a possible red flag for the US economy.Total consumer debt rose $10.3 billion in March, hitting a record-setting total of $4.05 trillion, according to the latest report by the Federal Reserve.Through the first quarter of 2019, American indebtedness increased at a 4.25% annual rate. But the March increase came in at just only 3.1% and ranked as the smallest consumer debt increase in...

Read More »