Guest Posted November 15, 2022 Share Posted November 15, 2022 Household debt soars at fastest pace in 15 years as credit card use surges, Fed report says WWW.CNBC.COM Households increased debt during the third quarter at the fastest pace in 15 years due to hefty increases in credit card usage and mortgage balances. Quote Debt has surged over the past year due to inflation running near its highest pace in more than 40 years and amid rising interest rates and strong consumer demand. The biggest contributors to that debt load came from mortgage balances, which rose $1 trillion from a year ago to $11.7 trillion, and credit card debt, which climbed to $930 billion. The credit card balance collectively rose more than 15% from the same period in 2021, the largest annual jump in more than 20 years, according to the New York Fed, which released the report. The increase “towers over the last eighteen years of data,” a group of Fed researchers said in a blog post on the central bank site. 2023 and 2024 are going to be rad Quote Link to comment Share on other sites More sharing options...
Mr.Vic20 Posted November 15, 2022 Share Posted November 15, 2022 No, no, no. Just the idea of carrying a balance on my credit cards gives me hives! 2 Quote Link to comment Share on other sites More sharing options...
Brian Posted November 15, 2022 Share Posted November 15, 2022 1 4 1 Quote Link to comment Share on other sites More sharing options...
CastlevaniaNut18 Posted November 15, 2022 Share Posted November 15, 2022 Mortgage will be finished next year and I never carry a balance on my cards. Just pay them off monthly. 2 Quote Link to comment Share on other sites More sharing options...
Jason Posted November 15, 2022 Share Posted November 15, 2022 28 minutes ago, Mr.Vic20 said: No, no, no. Just the idea of carrying a balance on my credit cards gives me hives! I get anxious about carrying a balance even when it's a promotional 0% balance. 1 Quote Link to comment Share on other sites More sharing options...
Brian Posted November 15, 2022 Share Posted November 15, 2022 37 minutes ago, Mr.Vic20 said: No, no, no. Just the idea of carrying a balance on my credit cards gives me hives! Do people still use multiple credit cards? I remember as a kid my parents would use multiple cards for different purposes but it never made sense to me. I have one card and everything goes on it. It makes it much easier to track my spending. Quote Link to comment Share on other sites More sharing options...
Mr.Vic20 Posted November 15, 2022 Share Posted November 15, 2022 Just now, Brian said: Do people still use multiple credit cards? I remember as a kid my parents would multiple for different purposes but it never made sense to me. I have one card and everything goes on it. It makes it much easier to track my spending. You know, I have like 5, but in truth I only use my primary Visa card! My credit rating is always north of 800 so I just leave things as they are! Quote Link to comment Share on other sites More sharing options...
CastlevaniaNut18 Posted November 15, 2022 Share Posted November 15, 2022 2 minutes ago, Brian said: Do people still use multiple credit cards? I remember as a kid my parents would use multiple cards for different purposes but it never made sense to me. I have one card and everything goes on it. It makes it much easier to track my spending. I have 3. Amazon Visa for all that spending, since I get 5% back, Amex Blue Cash for gas and grocery stores, and Capital One Quicksilver for everything else. Not particularly hard for me to keep up with stuff. My credit score is somewhere over 800. 1 Quote Link to comment Share on other sites More sharing options...
Brian Posted November 15, 2022 Share Posted November 15, 2022 Just now, CastlevaniaNut18 said: I have 3. Amazon Visa for all that spending, since I get 5% back, Amex Blue Cash for gas and grocery stores, and Capital One Quicksilver for everything else. Not particularly hard for me to keep up with stuff. Interesting. I assume it’s worthwhile to break your purchases across the multiple cards? 1 minute ago, Mr.Vic20 said: You know, I have like 5, but in truth I only use my primary Visa card! My credit rating is always north of 800 so I just leave things as they are! So after each divorce you get a new card and make that your main? Wow 2 Quote Link to comment Share on other sites More sharing options...
CastlevaniaNut18 Posted November 15, 2022 Share Posted November 15, 2022 Just now, Brian said: Interesting. I assume it’s worthwhile to break your purchases across the multiple cards? I just use whichever card I get the most cash back from, so yeah, I'd say it's worth it. I could probably do without the Amex and I'm not really sure why I got it in the first place, but whatevs. I'm clearly doing well. Quote Link to comment Share on other sites More sharing options...
SuperSpreader Posted November 15, 2022 Share Posted November 15, 2022 6 minutes ago, Brian said: Do people still use multiple credit cards? I remember as a kid my parents would use multiple cards for different purposes but it never made sense to me. I have one card and everything goes on it. It makes it much easier to track my spending. Yes. I have an American Airlines Admirals Club card I use for AA flights, a Chase Reserve I use for everything and United flights, and a Citi that I've had for 22 years so I won't close it. Quote Link to comment Share on other sites More sharing options...
Massdriver Posted November 15, 2022 Share Posted November 15, 2022 Right now I'm using the Chase Sapphire Preferred, AMEX Blue Cash Everyday, and I have an Amazon card. Edit: I wonder how all this will play out a year from now when we start feeling the full effects of the rate increases the Fed has done so far, not to mention the additional ones yet to come! Quote Link to comment Share on other sites More sharing options...
Jason Posted November 15, 2022 Share Posted November 15, 2022 17 minutes ago, Brian said: Do people still use multiple credit cards? Printing cash money from the signup bonuses. 1 Quote Link to comment Share on other sites More sharing options...
Zaku3 Posted November 15, 2022 Share Posted November 15, 2022 I havent helped wit this. Got my Onexplayer Mini Pro, my Flow x16, my AM5 parts, and my weights with credit. May YOLO on an Aya Neo 2. Quote Link to comment Share on other sites More sharing options...
Joe Posted November 15, 2022 Share Posted November 15, 2022 I have like 6 credit cards and I never carry a balance in any. Got to maximize those points, fam. Quote Link to comment Share on other sites More sharing options...
ort Posted November 15, 2022 Share Posted November 15, 2022 Yeah, you can juggle cards to maximize rewards, but I find that annoying. In my late 20s, early 30s when I did have some credit card debt, I would juggle multiple cards, but those days are long gone. I pay for almost everything with my card and pay it off every month. I still have like 5 cards, but I only ever use one. I never cancel them. I was told it can have a negative effect on credit scores so I don't worry about it. They just sit in a drawer and are out of sight our of mind. I have a separate account / card I give my kids to use when they need it because whatever they're doing doesn't take cash... or it's just easier. I know multiple people who have like $50,000 plus in credit card debt and I would just ugh... no. Quote Link to comment Share on other sites More sharing options...
Jason Posted November 15, 2022 Share Posted November 15, 2022 16 minutes ago, ort said: Yeah, you can juggle cards to maximize rewards, but I find that annoying. If you're doing it right the signup bonuses swamp the category multipliers to the point where it's basically not worth worrying about optimizing your day to day spending. 16 minutes ago, ort said: They just sit in a drawer and are out of sight our of mind. You should put a few dollars of charges on them once every 6-12 months or the bank might close them on you for inactivity. Quote Link to comment Share on other sites More sharing options...
Oberon Posted November 15, 2022 Share Posted November 15, 2022 Having multiple cards not only helps with point maximization, but can also really help with budgeting/paying off card in full. Use card one for weeks 1-3 of statement cycle Switch to card 2 (making sure it's statement cycle starts near the middle of card 1 statement cycle) That way even though you spend the same amount each month, your statement bull you will have to pay at a time will be less Quote Link to comment Share on other sites More sharing options...
PaladinSolo Posted November 15, 2022 Share Posted November 15, 2022 I had a card close cause i never used it, hurt my credit rating cause my available credit dropped, asked capital one to increase my limit, rating went up, PERFECT SYSTEM. 1 Quote Link to comment Share on other sites More sharing options...
marioandsonic Posted November 16, 2022 Share Posted November 16, 2022 I just have one credit card that I use for pretty much everything. Though occasionally I'll also have an additional card if I'm paying something off monthly Quote Link to comment Share on other sites More sharing options...
Anathema- Posted November 16, 2022 Share Posted November 16, 2022 maybe people just need money because it's all going to landlords or mortgages or healthcare Quote Link to comment Share on other sites More sharing options...
stepee Posted November 16, 2022 Share Posted November 16, 2022 4 minutes ago, Anathema- said: maybe people just need money because it's all going to landlords or mortgages or healthcare and video games Quote Link to comment Share on other sites More sharing options...
Uaarkson Posted November 16, 2022 Share Posted November 16, 2022 Snobby coastal elites ITT 1 1 Quote Link to comment Share on other sites More sharing options...
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