Statistics
Statistics
It is estimated that, on average, 20% of Americans
have “maxed out” their credit cards.
About 25% of adults in the United States have a history
of credit problems.
Americans’ average credit card debt is approaching $10,000 per household.
Over 8 BILLION pre-approved credit card offers were mailed to American Consumers last year.
Approximately 65% of consumers carry a balance on one or more credit cards. 23% have maxed out one or more cards. 40% have missed at least one payment in the last 3 months. Fully 33% can no longer make the minimum payments required on their credit cards.
Nearly 80% of divorced couples between the ages of 20 and 30 report that financial problems were the primary cause of their divorce.
Roughly 24% of personal expenditures in the United States are made using bank credit cards, retail cards, and debit cards.
Total unsecured debt for consumers now approaches ONE TRILLION dollars in the United States as of the end of 2007.
Approximately 185 million American consumers have at least one credit card.
Of those 185 million consumers with credit cards, 1.3 million credit card holders declared bankruptcy in 2002.
The average cardholder has 2.7 bank credit cards, 3.8 retail credit cards, and 1.1 debit cards. That’s 7.6 cards per cardholder.
Americans pay, on average, 18.9% interest rate on credit cards.
The average household pays $83.33 in credit card interest per month.
On average, the typical credit card purchase is 112% costlier than if using cash.
The most recent Federal Reserve study showed that 43% of U.S. families spent more than they earned. On average, Americans spend $1.22 for each dollar they earn.
As of 1995, 92% of American family disposable income is spent on paying debts, up from 65% in 1975. (Federal Reserve)
The average household is approaching $10,000 in credit card debt, up from about $3,000 in 1990. A $10,000 debt at a rate of 19% interest will take more than 25 years to repay and cost more than $26,000.
Credit cards are extremely profitable for banks. Credit cards cost American consumers over $90 BILLION a year.
Minimum Monthly Credit Card Debt Payments
It would be impossible for most people to pay off their credit card debt during their working lifetime by making minimum credit card payments each month.
The following table presents the number of years to pay off a credit card debt balance based upon a 19% interest rate and a minimum monthly payment of 2.1% of the outstanding balance. At the time this information was compiled, most cards required a minimum monthly payment between 2.0% and 2.4% of the outstanding balance.
CLEARLY THE CREDIT CARD INDUSTRY IS OUT OF CONTROL!
Source: CNN Money.com – Cable News Network LP, LLLP. A Time Warner Company
|
Amount |
Total Amount Paid |
Payoff Time |
|
$10,000 |
$26,276.59 |
42 years, 9 months |
|
$15,000 |
$55,370.41 |
48 years, 11 months |
|
$20,000 |
$74,464.22 |
53 years, 3 months |
|
$25,000 |
$93,557.98 |
56 years, 7 months |
|
$30,000 |
$112,651.77 |
59 years, 4 months |
|
$35,000 |
$131,745.58 |
61 years, 8 months |
|
$40,000 |
$150,839.39 |
63 years, 9 months |
|
$45,000 |
$169,933.22 |
65 years, 6 months |
|
$50,000 |
$189,027.02 |
67 years, 1 months |
|
$60,000 |
$227,214.61 |
69 years, 10 months |
|
$70,000 |
$265,402.22 |
72 years, 2 months |
|
$80,000 |
$303,589.81 |
74 years, 2 months |
|
$90,000 |
$341,777.43 |
76 years, 0 months |
|
$100,000 |
$379,965.06 |
77 years, 7 months |
|
$110,000 |
$418,152.62 |
79 years, 0 months |
|
$120,000 |
$456,340.27 |
80 years, 4 months |
|
$130,000 |
$494,527.82 |
81 years, 6 months |
|
$140,000 |
$532,712.48 |
82 years, 8 months |
NHI is here to help you eliminate these financial concerns and prevent debt from getting further out of hand.
