Americans are racking up record levels of credit card debt. A report last Friday from the Federal Reserve shows that Americans are more in debt now than at any other time in history as the cost of essential goods and services continue to skyrocket.
And things are quickly getting worse. In May there was a 7% increase in credit card debt; in June that rose to 16%. That’s a $ 40 billion debt accumulation in June alone. Debt from credit cards now accounts for $ 890 billion in American total household debt. Even adjusted for inflation, that’s worse than during the financial crisis of 2008.
Furthermore, Americans’ total household debt (including credit card debt) now totals more than $ 16 trillion. That debt load is more than the GDP of all the EUcountries combined.