A combination of credit card usage and student loan borrowing helped lead our country to the biggest one-month increase in the nation’s consumer debt in a decade. According to this New York Times report, credit card debt rose $5.2 billion after declining in January and February.
The article suggests that this trend is generally viewed as a healthy sign for the economy, suggesting that consumers are once again gaining confidence and becoming more comfortable taking on debt.
I think the pundits are dead wrong. I think this downturn has lasted so long that a lot of people are just tired of scrimping and scraping to get by. I think a lot of people have decided “to heck with it, I am buying my kid a decent birthday present this year even if I don’t have the money right now”.
Only time will tell who is right. The only thing I am confident with is our ability to help these folks out if their bills begin to overwhelm them. If you are in over your head on debt, seek out an attorney to obtain advice on how to handle your situation. If you are going to put your confidence in anything, it should be put in the hands of an attorney knowledgeable in debt relief options.