fbpx

The Next Recession Will Be The Last!

The Deep State Is Preparing Their CHECKMATE Move
You Must Be Ready To Go On The Attack!
DOWNLOAD THE ULTIMATE RESET GUIDE NOW!

Debt Slavery: US Household Debt Reaches ALL TIME HIGH Of $13.6 Trillion

Mac Slavo
May 22nd, 2019
SHTFplan.com
Comments (17)

As the economy frays, companies close retail stores, and other layoff workers, Americans are going further into debt.  In fact, the United States household debt has now reached all-time record highs.

According to the Federal Reserve’s Quarterly Report on Household Debt and Credit, household debt increased for the 19th consecutive quarter to $13.67 trillion. This increase in debt was “boosted by increases in mortgage, auto, and student loan balances,” the report explained.

U.S. household debt has hit yet another all-time high, with about $97 trillion in housing debt and about $4 trillion in non-housing debt.

U.S. household debt hit an all-time high. (Source: NY Fed)

This news comes as the auto industry is showing major signs of economic distress. Auto loan delinquencies, which millennials, in particular, have been struggling with, also rose slightly. Ford has announced layoffs and unsold cars are sitting in the parking lots of what used to be vibrant and bustling retail establishments. But don’t worry, because the media still says that the economy is doing just fine.

(Source: New York Fed)

Increases in delinquencies very often foreshadow an economic recession.  It’s a big deal when people can no longer pay their bills.  According to Yahoo, Fitch Ratings Senior Director, Non-Bank Financial Institutions Michael Taiano told Yahoo Finance that these delinquencies might not be signaling a recession. “What we are seeing reflects the seasoning of a resumption of consumer debt growth over the past few years after a period of stagnation following the financial crisis.” Taiano added: “we anticipated some worsening in credit performance this year relative to last year when there were a number of macroeconomic tailwinds including the tax cuts. So it’s not that surprising to see some credit deterioration this year.”

Credit cards saw the most concerning rise.  As unsecured debt, credit cards can present problems for so many users who cannot control their spending. They are the “most popular and common form of credit used by consumers,” according to the NY Fed, and saw a worrying increase in the number of serious delinquencies.

The 18 to 29 demographic in particular (Gen Z and late millennials) have been finding it more difficult to repay their credit card debt.  “Credit card delinquency rates have been trending upward in the past few years — likely reflecting, in part, the increased presence of younger borrowers in the credit card market,” the report explained.

 That demographic is also burdened with massive amounts of student loan debt, most of which is paid back to the government. The government will get their money (the taxpayers’ money) back with interest.

We will continue to encourage readers to save some extra money in an emergency fund and pay down the debts you already have while not taking on additional debt at this time.  Prepare for the worst, and hope for the best.

President Trump is Breaking Down the Neck of the Federal Reserve!

He wants zero rates and QE4!

You must prepare for the financial reset

We are running out of time

Download the Ultimate Reset Guide Now!

The Finger is on the Nuke Button | Future Money Trends

Author: Mac Slavo
Views:
Date: May 22nd, 2019
Website: www.SHTFplan.com

Copyright Information: Copyright SHTFplan and Mac Slavo. This content may be freely reproduced in full or in part in digital form with full attribution to the author and a link to www.shtfplan.com. Please contact us for permission to reproduce this content in other media formats.

CBD Oils, Isolates, Supplements And Information

17 Comments...

Vote: Click here to vote for SHTF Plan as a Top Prepper Web Site
  1. Wilson says:

    I have ZERO debt, I am NOT a DEBT slave, I am NOT responsible for the debts of others, AND MORE THAN ANYTHING ELSE I AM NOT RESPONSIBLE FOR STUDENT LOAN DEBT. Let the students pay their own debt. NO debt “forgiveness”.

  2. Don’t get excited. When this happened in 2008, the credit card company(Washington Mutual/now Chase Bank) offered a 66% discount to pay our balance in 3 months.
    That was a great deal for us–we had racked up credit charges with outfitting our new house(saving the cash for later if needed for unexpected expenses)!! We won with that deal!!

    We later learned the cc company needed cash real bad.

    • Yeah, if you can figure out how to use credit to your advantage, instead of merely as a way to spend money and go into debt stupidly, you can use it as a tool and do well. Takes discipline and patience mostly, plus a little knowledge of what’s happening economically.

  3. Anonymous says:

    Yes personal responsibility is needed. Folks that game credit cards are robbing the system and brag about it wow shameless.
    Yrs ago my gramps told me buy nothing till you have to pull cash to pay for it and you will be debt free. Well I did now retired in modest home on gulf with several rental income sources. American pride from hard work.

  4. Capt peacock says:

    Yes personal responsibility is needed. Folks that game credit cards are robbing the system and brag about it wow shameless.
    Yrs ago my gramps told me buy nothing till you have to pull cash to pay for it and you will be debt free. Well I did now retired in modest home on gulf with several rental income sources. American pride from hard work.

  5. The system is set up to steal your money, then make you out to be the deadbeat.

    In 1913 the ship sunk.

    Ever since, those that didn’t drown on the spot have been flailing around, trying to find safe harbor.

    Avoid the sharks. They are not your friends. They just want to devour your liver.

    The creditor is slave to the lender.

    Do you choose Liberty? Then choose to refuse.

    .

  6. Brian says:

    “I owe, I owe, it’s off to work I go!”.

  7. RoyInNC says:

    After 8 years of diligence, I’m 9 months from being debt free. Being retired now, I have no intention of returning to debt slavery!

  8. Anonymous says:

    It is. Your generation pretty much ensured that.

    Have fun trying to get your social security from overgrown children.

  9. Seminole Wind says:

    More bull crap articles and comments from the SHTF Plan mental patients. CRAZY!

    • Yahooie says:

      For those that don’t care for the latest written offerings on this site, I suggest sending in an article for Mac to publish. Or if writing ins’t your forte, send in a few suggestions about what would be of interest. So many of us have vast quantities of information and insight, it would be quite interesting to share.

      • Ketchupondemand says:

        Yahooie, nice idea. I tried it and it doesn’t work. This site owner doesn’t care and doesn’t answer emails, will not accept submissions (articles) and there’s your answer.

        • X7734-0845 says:

          Second that. Suggestions / Submitting is useless.

          Getting to be old hat on this site, plus hate the new layout. Too much crap. Not enough of what people want. Seems like KISS is out these days.

        • Yahooie says:

          Ketchup, that’s really too bad. I was hoping to see articles from regulars like yourself such as your info on how it was after the hurricane. That is on-the-ground useful information.

          Maybe Mac just does not have the time to edit and prepare submitted articles. There likely are good editors that post who could help for a small compensation.