Americans are defaulting on their credit card debt at a rate not seen since the aftermath of the 2008 financial crisis.
The Financial Times writes this based on figures from BankRegData.
In total, in the first nine months of the year, credit card providers have written off $46 billion for loans that have been seriously defaulted.
This corresponds to around DKK 330 billion and is an increase of around 50 percent from the same period the year before.
It is also the highest level in 14 years.
The write-offs occur when the companies no longer expect to be able to get the money back.
– High-income households are doing fine, but the bottom third of American households have spent their money, says Mark Zandi, head of Moody’s Analytics, to the Financial Times.
– Your savings rate right now is zero.
Among other things, it is the years of high inflation that have eaten away at American savings.
/ritzau/
Source: www.kristeligt-dagblad.dk
