Christopher Mihoulides, founder of Credit Counsel, Inc., delves into spiraling credit card debt in the United States
SOUTH FLORIDA, FL / ACCESSWIRE / October 14, 2019 / With average interest rates topping 20 percent for the first time in years, credit card debt in the United States is growing at a previously unanticipated rate, according to experts. Owner and founder of successful South Florida debt recovery company Credit Counsel, Inc., Christopher Mihoulides takes a closer look at the situation.
"Americans are racking up more and more credit card debt," reveals Mihoulides, "despite numerous recession warnings."
Right now, average credit card interest rates are at their highest since 2010, according to the Credit Counsel, Inc. owner and founder. "The rate at which we're piling on credit card debt, as a nation, is, frankly, worrying," he adds. America's personal finances, as they stand, Mihoulides believes, are a real cause for concern. "The current situation is far from encouraging," suggests the debt recovery expert.
According to reports, Americans started 2019 owing more than $1 trillion in credit card debt. While a proportion of this was paid off in the first quarter of the year, by July, revolving credit had already increased at an annualized rate of more than 11 percent based on the Federal Reserve's consumer credit tracker. "Spikes in annualized rates very rarely climb by double digits as we're seeing here," explains Mihoulides.
What's more, when they do, he says, it's usually around the holidays. "It's not normal at all to see this at other times of the year," adds the expert, "and particularly not during the summer months."
While credit card spending can be seen as a sign of confidence in the economy, whereby which people are feeling positive and are willing to spend, it can also point to more and more people needing to rely on credit cards simply to make ends meet, according to Mihoulides. "Unfortunately, in this instance," he points out, "it's looking more like a sign that times are getting tougher for people as we approach the end of the year."
"I'm hopeful, however, that, as a nation, we can take great strides to turn the current credit card debt situation around as we approach the end of this year and settle into 2020," adds Mihoulides, wrapping up.
Based in South Florida, Credit Counsel, Inc. is a national and international debt recovery firm specializing in commercial, medical, and occupational health debt collection. Founded by Christopher Mihoulides and fellow debt recovery industry professionals, Credit Counsel, Inc. serves a broad range of clients across the United States and worldwide. For more information, call 877-224-7904 or visit http://www.creditcounselinc.com/.
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