Tom Smart, Deseret News
Outstanding credit card debt in the U.S. dropped 5.2 percent to $803 billion during the first quarter of 2012, marking the third consecutive first-quarter drop, according to a recent study from CardHub.com.
Though first quarter figures have dropped, the total debt is slightly greater than the $794.4 billion reported for the same time last year.
The $35.8 billion paid down in the first quarter is 12 percent higher than in 2011, but it’s 8 percent lower than 2010.
This may be a sign that the U.S. is on track to have a pace similar to 2011 in which Americans incurred about $53.4 billion in new credit card debt, according to Card Hub.
“It’s clear that most of us have yet to truly internalize the reality that we cannot continue spending in this reckless manner,” Odysseas Papadimitriou, chief executive officer of Card Hub, said in a statement. “The problem is that we see signs of the nation’s economy recovering and think we can return to pre-recession spending levels. Unfortunately, pre-recession spending was inextricably tied to the housing bubble, and without another one, we cannot turn back the clock."
The amount of debt banks charged off dropped about 37 percent to 8.8 percent from 2011 figures.
- The American Dream is still alive for 20...
- System failure to blame for delayed Saturday...
- Healthy jobs report a good sign for future...
- Weber State center helping to improve auto...
- 3,000 Workforce Services clients may be...
- Jobless claims drop to near 6-year low
- Walmart's 20 best-selling Black Friday items
- Cedar Hills to require business licenses for...
- Fast-food strikes return amid push for... 32
- Jobless claims drop to near 6-year low 10
- System failure to blame for delayed... 9
- Obama to feds: Boost renewable power 20... 6
- The American Dream is still alive for... 5
- Cedar Hills to require business... 5
- Healthy jobs report a good sign for... 2
- United Kingdom government predicting... 1