The average household credit card debt has continued to increase in recent years.
Boston, MA (PRWEB) March 16, 2017
Almost fifty percent of consumers (49 percent) have household credit card debt over $10,000, according to a recent survey by national nonprofit American Consumer Credit Counseling. Of those respondents, 35 percent have a household credit card debt over $15,000.
“The average household credit card debt has continued to increase in recent years,” said Steve Trumble, President and CEO of American Consumer Credit Counseling, which is based in Newton, MA. “Although credit cards have one of the highest interest rates, consumers continue to rely on them when it comes to borrowing money or paying for emergencies. Given the fees and rates that accompany most credit cards, it’s important that consumers understand the financial costs of relying on them too heavily.”
According to the survey, more than 80 percent of consumers have at least one credit card. The number one purchase consumers use their credit cards for most is impulse buys (30 percent) followed by emergency expenses (18 percent), groceries (15 percent), gas (10 percent) and utility bills (6 percent).
Thirty-five percent of respondents carry 5 or more credit cards with them. Of these respondents, 32 percent have a monthly income between $1,000 and $2,499, followed by 20 percent with an income between $5,000 and $9,999. According to the survey, 39 percent of the respondents with a monthly income of $1,000 to $2,499 spend 20 to 25 percent of that income paying off credit card bills.
According to the most recent Survey of Consumer Finances by the U.S. Federal Reserve, the mean credit card debt of U.S. households is approximately $5,700. Respondents in the highest income percentile have an average of $11,200 in credit card debt, nearly four times as much as households making the least.
The online poll of 250 consumers was conducted by American Consumer Credit Counseling on the organization’s website, http://www.consumercredit.com. You can view an infographic illustrating the poll results here: http://www.consumercredit.com/financial-education/infographics/infographic-credit-card-use/
ACCC is a 501(c)3 organization that provides free credit counseling, bankruptcy counseling, and housing counseling to consumers nationwide in need of financial literacy education and money management. For more information, contact ACCC:
- For credit counseling, call 800-769-3571
- For bankruptcy counseling, call 866-826-6924
- For housing counseling, call 866-826-7180
- Or visit us online at http://www.ConsumerCredit.com
About American Consumer Credit Counseling
American Consumer Credit Counseling (ACCC) is a nonprofit credit counseling 501(c)(3) organization dedicated to empowering consumers to achieve financial management through credit counseling, debt counseling, bankruptcy counseling, housing counseling, student loan counseling and financial education. Each month, ACCC invites consumers to participate in a poll focused on personal finance issues. The results are conveyed in the form of infographics that act as tools to educate the community on everyday consumer debt issues and problems. By learning more about financial management topics such as credit and debt management, consumers are empowered to make the best possible financial decisions to reach debt relief. As one of the nation’s leading providers of personal finance education and credit counseling services, ACCC’s certified credit advisors work with consumers to help determine the best possible debt solutions for them. ACCC holds an A+ rating with the Better Business Bureau and is a member of the National Foundation for Credit Counseling® (NFCC®). To participate in this month’s poll, visit ConsumerCredit.com and for more financial management resources visit http://debthelp.consumercredit.com/.