Why Americans Are Drowning In Debt
1,547,724
Published 2022-08-27
Policy plays a vital role in keeping household debt in check. Experts say outdated procedures such as wage garnishment, in which an individual's earnings are withheld for the payment of a debt, are in dire need of a policy update. A survey found that about 7% of workers in America had their wages garnished, according to the most recent study in 2016.
The government can also play a potential role in reducing certain kinds of borrowings, such as medical debt that is currently held by roughly 23 million Americans.
Watch the video to find out more about why household debt is rising in America.
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Why Americans Are Drowning In Debt
All Comments (21)
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The U.S. economy can actually get better if only the govt can start making better decisions for the sake of it's citizens, cos' they've really made life more difficult for its residents. Hyperinflation has left the less haves bearing the brunt of the burden. Its already eating into my entire $620k retirement portfolio. Like where else can we invest our money with less risks?
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Last year, more than 140,000 jobs were slashed from public and private tech companies as they were forced to confront rising inflation and a tumultuous stock market.
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Most Americans find it hard to retire comfortably amid economy downtrend. Some have close to nothing going into retirement, my question is, will you pay off mortgage as a near-retiree, or spread money for cashflow, to afford lifestyle after retirement?
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The U.S. economy relies on ongoing credit and debt generation for sustenance. The Federal Reserve is expected to increase the money supply, leading to further debt accumulation for the average American. Meanwhile, foreign nations continue to desire the U.S. dollar, despite their own economies facing significant challenges, some even worse than that of the U.S. This situation raises concerns about who will ultimately bear the consequences of these economic dynamics.
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Inflation hits people a lot harder than a crashing stock or housing market as it directly affects people's cost of living that people immediately feel the impact of. It's not surprising negative market sentiment is so high now. We really need help to survive in this Economy.
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The worst part about this recession is that consumers are racking up credit card debt. In April alone, credit card debt went up 20% while rates have doubled in a year. Inflation is so high that consumers are literally taking debt for basic life necessities. Collapse is near.
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America is currently plagued by the hydra-headed evil duo of inflation and recession. The worst part about this recession is that consumers are racking up credit card debt. In April alone, credit card debt went up 20% while rates have doubled in a year. Inflation is so high that consumers are literally taking debt for basic life necessities. Collapse has indeed begun..
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Inflation is causing a lot of issue in the world ranging from food shortages, diesel fuel and heating fuel shortages, baby formula shortage, shortage of and price of available cars, the price of housing. It's all coming together and could lead to real disaster.
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Nobody could have predicted the dollar's current state two years ago. The United States continues to make the same mistakes that have led to the dollar's current state. Thus, there is no assurance that the dollar's growth will not rise beyond initial projections.
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"There's no reason to panic about the state of household debt in America." Translation = It's a friggin' crisis for everyone but the banking industry.
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The most important thing that should be on everyone's mind currently should be to invest in different sources of income that doesn't depend on the government. Especially with the current economic crisis around the world. This is still a good time to invest in various stocks, Gold, silver and digital currencies. I never imagined that a few thousand dollars per month would add up. However, it is. I've made around $870,000 since 2020.
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A weak dollar can signal an economic downturn, making me to ponder on what are the best possible ways to hedge against inflation, and I've overheard people say inflation is a money-eater thus worried about my savings around $200k
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I am an American without debt but I think this is also the reason why I am so behind everyone when it comes to owning a house. Everything I have right now is mine. I don’t owe anyone a penny but this means I need to work for years or months to get what I need.
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If she has $240k debt, why buy a gas guzzling car and a condo in a affluent area? It means she needs financial education more than anything else
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I recently purchased some ETFs. Saving for a market fall is also a bad idea. There are different perspectives on recessions and depressions; we cannot always expect significant rewards; and taking risks is preferable to doing nothing. The bottom line is that by diversifying your portfolio and making sensible judgments, you will accomplish exceptional outcomes. In 2022, my portfolio returned $608,500.
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My parents told me never to make debts. They repeated this all over again and again. Today I´m a grown man and I have a car and a house, but no debts, thanks for their wise reminders: You should always save money, and then buy what you want.
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Our economy drifted slowly over to a debt based economy. No saving needed to buy nice things. Banks and politicians love it. Debt slaves are easier to use and herd. Independent people are not. Why is managing a budged and basic economics not taught in public schools? Because bankers and politicians want the tax and debt cattle as dumb as possible.
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Financial illiteracy, easy debt and the whole medical thing. Add in student debt, you have a recipe for disaster.
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I personally cleared $230k of debt going aggressive in the other markets. Right now the markets are crazy but there are still hidden opportunities therein. Having monitored my portfolio performance return huge six figures from the last 2 quarters of last year, I have learned why the market will remain a money den for those who know where to look.
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We read news in the media that doom and gloom is coming and we just accept it, doom and gloom doesn’t always have to be coming, I’ve read numerous success stories of people that are pulling off tremendous gains of up to $250K within weeks in this crazy market and I just want to learn how to achieve such figures.
