Ben Alarm

Have Americans let credit cards lead them into trouble?

> U.S. debt woes grow with unpaid credit cards
>
> AP SAN FRANCISCO Mon Dec/24/2007 08:11 pm
> -- Americans are falling behind on their credit card
> payments at an alarming rate.

Yes. But the government has been perfectly happy with all the taxes those sales and debt has brought them.

But now, don't place 100% of the blame on the debtors, Congress decided to double the minimum payment and then allowed the credit card companies to double the interest.

We are paying it off no faster (which was the alledged goal) but the payments are (obviously) killing many.

Think it is bad now? Those were October numbers, just wait until Jan/Feb/March numbers come in. We ain't seen nothing yet.

And oh yeah, bankruptcy reform (passed at the same time as the doubling of minimum payments) was supposed to cut way down on bankruptcies, instead they are skyrocketing and only getting worse.

Hang onto your hats, it is going to be a real bumpy ride.

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