The Board of Governors for the Federal Reserve recently reported to Congress that American's credit card debt decreased in 2012 to a total of $850 billion. This number, which is still high, is quite a drop from the $1 trillion debt carried by Americans during the Great Recession. Also, credit card interest rates dropped to their lowest levels since 1994. Experts cite decreased access to credit during the recession for the drop as well as decreased card usage.
The cost of healthcare is expensive. Unfortunately, those who cannot afford insurance face even higher healthcare costs. When an individual must face high medical expenses coupled with other financial challenges found in this struggling economy, including unemployment or a drop in wages, he may be unable to make his payments. This burden, coupled with creditor harassment, can drive an individual facing financial difficulty into an extremely stressful situation and depression.
With business ownership come high risk and the potential for high reward. Unfortunately, many business owners find themselves overextended or facing an imbalance as far as the product or service they offer and the current demand. When this happens, financial challenges can leave the business struggling to survive and the business owner stressed. Perhaps the best option for these business owners to take in attempt to reaching a fresh financial start is to file for bankruptcy.
Many Americans have fallen on hard times. For many, Income has dropped, unemployment has left them without wages, and health and other personal issues have left them facing seemingly insurmountable financial challenges. With little or no money, these individuals may have creditors harassing them over missed payments, and depression and hopelessness may settle over them. For some individuals, this may lead to drastic measures.