Bloomberg reported this past Monday that credit card debt made an unexpected climb in May. In fact, it was the biggest jump in credit card debt in almost 5 years. As the following article discusses, this is troubling considering consumers have done very little to deleverage since the recession.
The trouble with this news is that consumer spending remained flat during this same time. This means that consumers are once again relying on credit cards to pay for essentials. In our practice of debt workout, we often counsel our clients on the benefits of deleveraging now so that they are in a better position a few years from now when the economy is expected to recover. Many find themselves pulling out their credit card to pay utilities or groceries. If you are in that category, the time has come to reassess your goals. Get out of the survival mode and seek the assistance of an attorney experienced in debt settlement. You should know what options exist to help you deleverage and help our country pull that
foot out of the proverbial grave.